The Economy is a system of individuals, groups, and institutions making choices about trade with resources such as money, time, and material goods. It is made up of everything from people buying food at the grocery store to governments addressing tariffs.
The Economics major explores the economy as a network of human decision-making through analytical models and data, evaluating everything from consumer behavior to legal structures and global trade.
Understanding Economic Science
The most widely accepted definition of Economics "is the science which studies human behaviour as a relationship between ends and scarce means which have alternative uses" (Robbins 1932, 15). The economy itself is the real-world system shaped by three universal realities of human life:
- Unlimited Wants (Ends): Humans have an infinite desire for goods, services, time, safety, and comfort.
- Limited Resources (Scarce Means): The resources available to satisfy these desires, such as time, money, labor, land, and raw materials, are strictly finite.
- Alternative Uses: These limited resources can be used for different things. A piece of land can be used for a farm, a hospital, or a parking lot. A student can use an hour to study, work, or sleep.
Because our unlimited wants exceed limited resources, individuals, businesses, and societies are forced to choose which desires we will fill with which resources. The economy doesn't arise from the stock market and money, but from the choices that billions of people make every day.
The Everyday Economy
An economy is the structured process designed to manage the trade-offs people make under the pressure of scarcity in which the production, distribution, and consumption of goods and services are directed by business or government.
The Influence of Government
Government sets regulatory constraints, or lack thereof, with policies and procedures for the economy, such as property rights, taxes, monetary system, and contracts.
The Influence of Business
Regardless of the system, a business is the primary vehicle to produce goods and services.
The Influence of the Consumer
Consumers are people using goods and services to achieve needs and wants. Within any economy, the human factor of consumer demand represents the purpose of production. Consumers’ access to what is valuable is determined and constrained by scarcity and the specific economic system.
Why Major in Economics?
Majoring in Economics means that you move from understanding that scarcity exists to evaluating how people, groups, and institutions make decisions within that scarcity. You’ll move from observation to analysis, understanding how everyday human behavior is driven by economic principles.
If you want to understand the world with a new perspective, backed up with quantitative reasoning, then majoring in Economics is a great option available to you.
Sources
Wikipedia — An Essay on the Nature and Significance of Economic Science
BYU–Idaho — Accounting (B.S.)
BYU–Idaho Academic Catalog — Accounting Program
Wikipedia — Bloomberg Terminal
Bloomberg Professional Services — Bloomberg Terminal
CFA Institute — CFA Program Curriculum
BYU–Idaho — Department of Accounting
BYU–Idaho — Department of Economics
BYU–Idaho — Department of Finance
BYU–Idaho — Economics Student Resources
BYU–Idaho — Financial Economics (B.S.)
Wikipedia — Financial Economics
BYU–Idaho — Grad Planner
Investopedia — What Is a Bloomberg Terminal? Features, Costs & Competitors
BYU–Idaho Learning and Teaching — Bloomberg: A Teaching Innovation
Investopedia — Economy: What It Is, Types of Economies, Economic Indicators
Wall Street Oasis — Financial Economics
Investopedia — Financial Economics Definition
BYU–Idaho — Finance Student Resources