What is ECONOMICS?
Economics is the study of making choices.
We need to make choices because we as individuals and as a society experience scarcity. There are not enough resources available to produce all the things we want because resources are limited but our wants are unlimited. The study of economics examines how we make choices. A new boat or a used car? More schools or more highways? More leisure time or more income from work?
By examining the trade-offs between the various options that we face when we make choices, economics helps us to understand how to make the best use of our limited resources. Almost all issues of public and private policy involve economics as do your own individual choices.