Learn Economics from the scratch, ECO03, is the third of a five course series in my Economics specialization.

No subject of the present day is so important as economics. Economics governs the life of the individual, Society and the modern States. The subject plays a significant role in the international affairs. The knowledge of economics helps in solving many problems and the study has practical advantages as follows.

The knowledge of the subject tells how the complex forces work in the economic systems. It explains the relationship between the producer and consumer, the labor and the management etc. It explains how the action in one sector affects the other sector. Without the knowledge of the working of the economic systems, administration will not be effective and it may even be impossible.

In practical life, the subject helps the businessmen, the industrialist and the banker as well as the labor leader. It gives the businessmen and industrialists the knowledge of modern methods of production and production at low cost.

Economics is also useful to the householder. With the knowledge of economics, the householder is able to utilize his little income to get the maximum satisfaction for his family by proper budgeting and careful spending. This increases the happiness of the family.