When someone gets up in the morning, it’s apparent that he/she will be faced with the inevitable routine that entails decision making. Especially, how to spend the limited available resources with respect to the endless list of needs is never easy. Every single person encounters this. If you’re struggling with such, it would be prudent to avail some expert economist’s assistance. As well, for economics’ students, find professional economic assignment help for academic excellence.
Economics aims at resolving and making easy the decision process. All the same, it does not end at an individual’s domain. Instead, economics extends to small business, to mega businesses, and to companies and governments. Basically, economics is categorized into two main sub-categories, microeconomics and macroeconomics.
The Basic Concepts of Economics
Since economics affects everyone with a need, it typically affects everyone. In effect, it’s a very crucial area of study and attracts numerous numbers of students. To thrive as an economist, economics assignment help experts advocate for proper understanding of the basic concepts of economics. These basic concepts of economics include National Income, Balance of Payment (BoP), Fiscal Policy, and Monetary Policy.
Basically, National Income is a measure of the monetary value in flow of goods and services produced in a nation/economy within a given period of time. In application, National Income is used to estimate economic growth, living standards, and distribution of income. While understanding National Income, you’ll come across such measure as:
- Gross Domestic Product (GDP)
- Gross National Product (GNP)
- Net National Income (NNI)
- Adjusted National Income (NNI*)
Balance of Payment (BoP)
This is mostly concerned with international transactions. In simple terms, Balance of Payment is concerned with money flow in and out of the country. In most of the times Balance of Payment will be concerned with the differences in exports and exports. While on it, you’ll come across Current Account Deficit (CAD) and Capital Account Deficit. The deference would be much dictated by which between exports and imports have a greater value.
The government’s actions influence the economic status and growth greatly. Such activities would include government budget, subsidies, taxes, and government expenditure. Fiscal Policy is mainly concerned with government income with respect to government expenditure.
Monetary Policy is concerned with the activities and policies of the central bank, currency board, or generally a countries monetary authority. Economic assignment help experts affirm that understanding Monetary Policy is basic for successful economists. This is because it’s closely concerned with such issues as money supply, interest rates, inflation rates, price stability, and currency trust. With Monetary Policy, you’ll come across such terms as:
- Re Purchase Options (REPO)
- Reserve REPO rate
- Marginal Standing Facility (MSF)
- Bank Rate
- Capital to Risk Weighted Assets Ratio (CRAR)
- Statutory Liquidity Ratio (SLR)
- Cash Reserve Ratio (CRR)