Economic Thinking and Behavior
This week we are discussing economic thinking and behavior. Economies around the world are becoming increasingly globalized. How does this globalization affect the choices you face in your economic decisions? Do the effects change if you think of yourself as a consumer or as a producer? Use the economic principles from this module to discuss whether consumers and producers are hurt or helped by this globalization?
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Economic thinking is a way of looking at and scrutinizing the manner the world works by contrasting the cost of an act with the advantage generated. The study of economics is the system of economic thinking regarding matters associated to the scarcity predicament. The necessity for economic thinking is a direct outcome of the scarcity crisis, which subsists because of unlimited desires and wants, but inadequate resources. Scarcity denotes that almost all actions acquire an opportunity cost. Recognizing the cost of an act, no matter how concealed or restrained it might be, is the essence of economic thinking. While on the other hand, economic behavior involves the assessment of models of economic behavior that reflect on people’s selections of goals,
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