Taruc, Edrick C.

BSED 4B1
Course Title: SSM 14: Economic Planning and Strategy
Topic: Definitions of Economics and Divisions of Economics

In this photo, I am just started to discuss what

economic is?

In this photo, I discussed the etymology of the word

economics
 In this photo, I am already discussing the
definitions of economics by some Economist

In this photo, I am already discussing the division of

economics, which are the Macroeconomics and
Microeconomics
Summary of Report
Definition of Economics
• The word ‘Economics’ originates from a Greek word ‘Oikonomikos’
• This Greek word has two parts:
• ‘Oikos’ meaning ‘Home’
• ‘Nomos’ meaning ‘Management’
Hence the meaning of economic is ‘’home management’’
 Economics is the study of how men choose to use scarce resources
to produce various commodities and distribute them to various members of society for their
consumption.
Definitions of Economics by some Economist
Adam Smith
 He defined economics as “a science which inquires into the nature and cause of wealth of
nations”.
Alfred Marshall
 Economics is a study of mankind in the ordinary business of life.
Lionel Robbins
 Economics is the science which studies human behavior as a relationship between ends and
scarce means which have alternative uses.”
Division of Economics
Microeconomics
 the study of economics at an individual, group or company level
Macroeconomics
 the study of a national economy as a whole.

Reflection
Economics is a very large and complex study and reflecting on this subject, piece by piece,
requires some patience and ability to put the pieces together. The relationships between simple
choices, such as supply and demand, drives all economic and commercial exchange but only through
the lens of economic models that attempt to layout this system by combing mathematical principles
and psycho-social evaluation. All in all, this was very interesting introduction to some of the complex
drivers that propel society. Discussions are always useful because we are allowed an opportunity to
weigh and evaluate our own personal thoughts with those of others. This comparison helps gauge
where I stand on many political and social issues that derive from economic theories and
philosophies. Knowing where I stand amongst my peers is a helpful measurement to contrast and
qualify my own thoughts. For example, when the topic of monetary policy came up, I was very
shocked to find out the importance of currency and how it is used in global markets.