BLOG

Why a Detailed and Scientific Study of Global Economy is Necessary for Students?

“Love does make the world go around- but money does more!”

When there is a new baby at home, after the usual hullabaloo created by the child, the next step is concerns regarding how to manage the finances to accommodate demands of that child. Well, that is purely a matter of family finances.

What’s next? The family’s finances also depend on how the company or organization where the employed members work function.

Now the primary concern is – most students when they are taught economics at school and college level merely concentrate upon the definitions and basic ideas. The whole point of implementing economics at real format is something that one has to learn via trial and error method. That is most probably why people were in a complete shock with the recent economic upheavals that the world has gone through!

The world economy and its effects at academic level:

The various changes that the world economy undergoes have a wider effect on the academic field.  The statistics that are released help a country determine the amount that it shall spend on education of that country, and finally, within the chain system, this global economy determines the knack and career options for that subject.

Let’s take an example: The global economy is facing a slump. What would a country do? Manage its finances the first thing, and to a great extent cut down on the jobs. With no start-ups, the economy will see a reduced employment rate. It is depending on this employment rate that students will choose subject that will provide them with easy opportunities. Now see, how the economy affects the academic scenario! 

Why students need to get a wider view of practical economic application?

You must be recalling the 2010 Lehmann Brothers crash that shook the global economy. Also, the very recent Brexit that to a great extent has affected the economy of the UK and its associated areas must be clear in your mind.

Now, imagine what if you are given to write a paper on financial inclusion and economy of a country. You do know all the definitions and can write an excellent theoretical paper, but that in no way would suffice the demands of the examiner.

Hence, students need to learn more than mere definitions of financial inclusion and concepts of demand and supply. They need to understand, how the economy of a particular country (at a macro level) and economy of a home (at a micro level) works. Though financial aspects and concerns are both of high magnitude in either case, but demands against which they are placed are different for both these situation.

With practical economic application, students will be mentally prepared to deal with certain critical situation and rather than mere definition, it is the analysis that will help them develop their mental skills.

What is more important to note is, students who in future will take up a career in economics, will be equipped in a better manner to deal with such critical contexts.

What would have happened, if Newton simply didn’t bother to analyze why the apple fell from the tree and not go up? The ideas of gravity and force would be unknown to men. So folk’, just knowing that apple falls from the tree is not enough. You need to understand and apply it in a relevant context.

Now, do you recall when you had last studied economics and placed its relevance at a global level? Well, truly speaking, these are certain aspects that academic institutions need to keep in mind as they frame the syllabi of economics.

As one of the most dynamic subjects, economics is presented in a ‘new’ form every day before us. Hence, being students, you need to get a wider idea of its usage on a regular basis.

P.S. The Ebola has reached the scale of an epidemic in the African countries.  Just make sure that you keep track as to how it affects the African economy in present times and its future.

Posted on