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What is Economics…And Why Should I Care? Part 2

Yesterday, In Part 1 we discussed economics terminology as it relates to your household budget. Today, let’s create a real example of the terminology in action.

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What is Economics…And Why Should I Care? Part 1

Instead of giving you a definition of economics, I’m going to give you an example that works on a microeconomic level but also helps explain macroeconomics by way of analogy. This week, we will look at your home and household budget as its own economic ecosystem.

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Introducing Everyday Economics

Whenever people start talking about economics, something in the air changes. For most of us, the air becomes filled with a little buzzing noise that interrupts our train of thought and makes it impossible to actually understand what those trained economic savants are saying. Eventually, the buzz transforms into a completely formed thought–usually something along the lines of, “What should I make for dinner tonight?” Or, “I’ve got to pick up the dog from the vet.”

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