Question on: SS1 Economics - Definitions, Scope, Importance And Methodology Of Economics

Three reasons why the study of economics is important include:

1. Economics is important because it provides tools and models to study how societies allocate scarce resources like labour, capital, and natural resources, and how they make decisions about what to produce, how to produce, and for whom to produce.
2. Economics is useful for businesses, policymakers, and consumers to make informed decisions about buying and selling goods and services.
3. Economics is used in policy-making, with the goal of promoting economic growth, reducing inequality, and achieving other social objectives.