Economics Part 1

Economics have existed for

thousands of years. It
inspires debates, focuses on
analysis, and deals heavily
with mathematics.
Economics is an endeavor
The gift of economics is that it can
that is important to
research, study, and apply organize so many disciplines and help
to everyday life. people focus on bettering society in
general.

Human beings deserve economic justice.

 One of the most debated and important issues of humankind
involve economics. The economy governs so much of human
activities and governmental policies. We are influenced by
economics constantly. It relates to the taxes that we pay, the
food eat, and the type of civilization in which we live. From
capitalists to socialists, economics are diverse in their personal
philosophies. What is true is that reasonable people desire an
economy that enriches society and helps humanity in altruistic
ways beyond the sole pursuit of profit alone. We do live in a
society where some want to exploit economics as a means to
promote exploitation and oppression, which is wrong. So, this
is a new series on economics. The first part (which is here right
now) shows an overview of economics. The second part will
show economic history from the beginning of human history
to 1500 A.D. The third part will show economic history from 1500 A.D. to the present. The fourth or last
part will show economic solutions and a call for economic justice in the world. The second to fourth parts
will be shown in the future. I wanted to show this information as a means for people (regardless of age,
color, sex, nationality, or background) to have the opportunities to learn more information about
economics.

First, money is important to define. Money is anything that is accepted as a method of payment. For
example, thousands of years ago, ancient humanity used cattle, beads, and coins as a form of money.
Today, most people use paper money, digital entities, or coins as a means of payment. Today, the United
States government issues coins and currency, so people can accept it in exchange for goods and services.
Some people have confidence in the government. Now, we see new currencies like bitcoms and other
forms of electronic currencies being spread globally. In America, there are coins, Federal Reserve notes (as
used in currency), and deposits in bank accounts that can be accessed by checks and debit cards.
Historically, the United States government has passed laws and created agencies to protect consumer
rights and property rights. It is important to have these rights protected, so they are exercised to oppose
fraud and abuse. Individuals have private ownership in America. This is protected by negotiated contracts
that are enforceable by law. Government agencies can establish legitimate guidelines that protect public
health and safety. Consumers can take legal action against violations of consumer rights. That is why
consumer rights advocates for decades and centuries have fought against corruption in society. I will
outline information about the components of economics, the types of economic philosophies, the history
of economics, and solutions. Life is a life long journey. I certainly enjoy studying about economics and
other subjects as well.
Microeconomics
To understand economics, people should know what microeconomics is and what macroeconomics is.
Microeconomics deals with the part of economics that is related to single factors and the effects of
individuals from supply and demand to products. So, it’s is a branch of economics that studies the behavior
of individuals and firms in making decisions regarding the allocation of scarce resources and the
interactions among these individuals plus firms. Macroeconomics is part of the economic that deals with
large scale or general economic factors like interest rates, unemployment, and national productivity.
Macroeconomics covers the economy as a whole. Microeconomics definitely focuses on graphical images
and charts in order for people to understand the key components of economic principles. First, it is
important to elaborate on the parts of microeconomics. In real life, people decide on how to use limited
resources, on how people own these resources, and the type of markets for the distributions of goods and
services. This is the world in which we live in. The following concepts deal with how economic decisions are
made in the marketplace. Products and services are key in any economy. A product can be apples and a
service can be repair services, legal counsel, or entertainment. Scarcity is the inability to satisfy the all
wants at the same time. This is when resources and goods are limited. Choices must be made to deal with
scarcity.

Resources are factors of productions used in the production of goods and services. Resources can be
natural, human, capital, and entrepreneurship. Choice is the selection of an item of action from a set of
possible alternatives. Individuals must choose or make decisions about the desired goods and services,
because goods and services are limited. Opportunity cost is what is given up when a choice is made. That
means that the highest valued alternative is forgone. Individuals have to consider the value of what is given
up when making a choice. Price is the amount of money exchanged for a good or service. The interaction of
supply and demand determined price. Price determines who acquires goods and services. Incentives are
things that incite or motivate. Incentives are used to change economic behavior like subsidies or tax cuts.
Supply and Demand is the interaction of supply and demand that determines price. Demand is the amount
of a good or service that consumers are willing and able to buy at a certain price.
Supply is the amount of a good or service that producers are willing and able to sell at a certain price. In
theory, in a free market, the aggregates (or sum of) of quantity demanded by buyers and quantity supplied
by sellers will be equal and reach economic equilibrium over time in reaction of price changes. In real life,
many issues can prevent equilibrium and any equilibrium reached may not necessarily be morally
equitable. For example, if the supply of healthcare services is limited by external factors, the equilibrium
price may be unaffordable for many who desire it but cannot pay for it. In the real world, markets readily
experience imperfect completion.

So, a monopoly is about when there is only one seller of a good. Duopoly is when there are only two sellers
of a good. Oligopoly is when there are a few sellers of a good. Monopolistic competition is when there are
many sellers producing highly differentiated goods. Monopsony is when there is only one buyer of a good.
Oligopsony is when there are few buyers of a good. Unlike perfect competition, imperfect competition
invariably means market power is unequally distributed. Firms under imperfect competition have the
potential to be "price makers", which means that, by holding a disproportionately high share of market
power, they can influence the prices of their products. It is an economic process that uses inputs to create a
commodity or a service for exchange or direct use. Production is a flow and thus a rate of output per period
of time. Distinctions include such production alternatives as for consumption (food, haircuts, etc.) vs.
investment goods (new tractors, buildings, roads, etc.), public goods (national defense, smallpox
vaccinations, etc.) or private goods (new computers, bananas, etc.), and "guns" vs "butter".

The law of demand states that, in general, price and quantity demanded in a given market are inversely
related. That is, the higher the price of a product, the less of it people would be prepared to buy (other
things unchanged). As the price of a commodity falls, consumers move toward it from relatively more
expensive goods (the substitution effect). In addition, purchasing power from the price decline increases
ability to buy (the income effect). Other factors can change demand; for example an increase in income will
shift the demand curve for a normal good outward relative to the origin, as in the figure. All determinants
are predominantly taken as constant factors of demand and supply. Market equilibrium occurs where
quantity supplied equals quantity demanded, the intersection of the supply and demand curves in a supply
and demand graph. At a price below equilibrium, there is a shortage of quantity supplied compared to
quantity demanded. This is posited to bid the price up. At a price above equilibrium, there is a surplus of
quantity supplied compared to quantity demanded. This pushes the price down. The model of supply and
demand predicts that for given supply and demand curves, price and quantity will stabilize at the price that
makes quantity supplied equal to quantity demanded. Similarly, demand-and-supply theory predicts a new
price-quantity combination from a shift in demand (as to the figure), or in supply.

Production is the combining of human, natural, capital, and entrepreneurship resources used to make
goods or provide services. Production also relates to the conversion of inputs and outputs. Resources
available and consumer preferences determine what is produced. Consumption is the using of goods and
services. Consumer preferences and price determine what is purchased and consumed. Therefore, the
market system in the world is diverse. Some markets have great government interference and some don't.
Prices are determined by supply and demand as buyers and sellers interact in the marketplace. In a private
market system, private property is abundant. Profit is made up of earnings after all the expenses have been
paid. In a capitalist economy, there is competition (which is a rivalry between producers and/or sellers of a
good or service. This can result in better quality of goods and services at lower prices).

Consumer sovereignty is about consumers determining through purchases what goods and services will be
produced. Government involvement can be limited in an economy at times. In a capitalist system, most
decisions regarding the production of goods and services are made in the private sectors. Workers or folks
in the public sector in a socialist economy will determine decision on the production of goods and services.

Entrepreneurship is important in any economy. An entrepreneur is a person who takes a risk to produce
and sell goods and services in search of profit. He or she may form a business. There are many different
types of businesses. One is called the proprietorship or a business organization with one owner who takes
all of the risks and the profits. A partnership is a form of business organization with 2 or more owners. They
share the risk and the profits. A corporation is a large form of business that is authorized by the law to act
as a legal entity. It doesn’t matter how many owners there is. Owners share the profits. Owner liability is
limited to the amount of their investment. Public finance is the field of economics that deals with
budgeting the revenues and expenditures of a public sector entity, usually government.

There are trusts too. A trust is a three-party fiduciary relationship in which the first party, the trustor or
settlor; transfers ("settles") a property (often but not necessarily a sum of money) upon the second party,
the trustee; for the benefit of the third party, the beneficiary. At least two of the three parties must be
different individuals or business entities. That is, one person can be trustor and trustee, and another can be
beneficiary; or one can be trustor and beneficiary, and another is a trustee; or one person can be trustor
and another can be trustee and beneficiary.
Resources, goods, and services including money flow in America exist among households, businesses, and
markets in the American economy. Individual business saving and investment can provide financial capital
that can be borrowed for business expansion and increased consumption. Individuals in households can
own the resources used in production, sell the resource, and use the income to purchase profits. The
business producers can buy resources to make products. Later, those products are sold to individuals, other
businesses, the government, and they (or business producers) can use the profits to buy more resources.
The governments of the world historically have used tax revenue from individuals and businesses to
provide public goods and services. Financial institutions globally also channel funds from savers to
borrowers. Private financial institutions do act as intermediaries between savers and borrowers which
include households and business investors. These private financial institutions include banks, savings and
loans, and credit unions. These institutions receive deposits and make loans. They also encourage saving
and investing by paying interests on deposits.
Macroeconomics
Macroeconomics deals with researching the economy as a whole. It deals with general equilibrium theory,
national income, output, the unemployment rate, inflation (which are aggregates), and sub aggregates like
consumption, investment spending, etc. It also studies the effects of monetary policy and fiscal policy. In
macroeconomic analysis, people research the growth of national income. There are investigations on
technological change and labor force growth. Economic growth deals with the increase in output per capita
of a country over a long period of time. There are many factors that tell the differences in the level of
output per capita between nations (in why some countries grow faster than others and whether countries
converge at the same rates of growth).

These factors include the rate of investment, population growth, and technological change. These are
represented in theoretical and empirical forms (as in the neoclassical and endogenous growth models) and
in growth accounting. In macroeconomics, there is the study of the business cycle. There are many theories
on whether to do something or nothing in dealing with the business cycle. John Maynard Keynes wrote a
book during the 1930’s called, “The General Theory of Employment, Interest, and Money.” This book came
out during the Great Depression. In the book, he believed that the aggregate demand for goods might not
be sufficient during economic downturns. This caused high unemployment and losses of potential output.
He wanted the public sector like monetary policy actions by the central bank and fiscal policy actions by the
government to stabilize output over the business cycle. This is Keynesian economics in wanting the
government to move forward (via strong intervention in the market) towards full employment. The
business cycle involves the different stages of an economy. There is the expansion, then the boom, the
recession, and the depression. Later, the business cycle comes about back again with expansion.

Friedman’s permanent income hypothesis dealt with this issue too. The neoclassical synthesis refers to the
reconciliation of Keynesian economics with neoclassical economics, stating that Keynesianism is correct in
the short run but qualified by neoclassical-like considerations in the intermediate and long run. There are
the new classicals assume that prices and wages adjust automatically to attain full employment, whereas
the new Keynesians see full employment as being automatically achieved only in the long run, and hence
government and central-bank policies are needed because the "long run" may be very long. To find the
amount of unemployment in an economy is about measuring the unemployment rate, and the percentage
of workers without jobs in the labor force. The labor force includes only people actively looking for jobs.

People who are retired, pursuing education, or discouraged from seeking work by a lack of job prospects
are excluded from the labor force. Unemployment can be generally broken down into several types that are
related to different causes. Unemployment can happen when wages are too high for employers to be
willing to hire more workers. Structural unemployment deals with skills, etc. While some types of
unemployment may occur regardless of the condition of the economy, cyclical unemployment occurs when
growth stagnates. Okun's law represents the empirical relationship between unemployment and economic
growth. The original version of Okun's law states that a 3% increase in output would lead to a 1% decrease
in unemployment. Government using fiscal policies definitely deals with macroeconomics. Some fiscal
policies involve adjusting spending and taxation policies to change aggregate demand. When aggregate
demand falls below the potential output of the economy, there is an output gap where some productive
capacity is left unemployed. Governments increase spending and cut taxes to boost aggregate demand.
Resources that have been idled can be used by the government.

For example, unemployed home builders can be hired to expand highways. Tax cuts allow consumers to
increase their spending, which boosts aggregate demand. Both tax cuts and spending have multiplier
effects where the initial increase in demand from the policy percolates through the economy and generates
additional economic activity. Some fiscal policy can be limited by crowding out when the economy is
producing at full capacity. That is when there are no excess productive resources. Some people believe in a
Ricardian equivalence (which is a hypothesis) or people must save money, reduce consumption, and future
tax increases must exist in order for an increase in debt to be paid for. Chris Carroll, James Poetrba, and
Lawrence Summers disagree with the Ricardian equivalence hypothesis. The government readily provides
certain goods and services that individuals and businesses acting alone can’t provide efficiently. The
government provides these benefits to many simultaneously. They wouldn’t be in massive supply if
individuals had to provide them.
These services include interstate highways, postal service, and national defense. The government pays for
public and services by tax revenues, borrowed funds, and by fees (like tolls and park entrance fees). The
government taxes, borrows, and spends its influence to promote economic activity. The government tax
increases can reduce the funds available for individuals and business spending. Tax decreases increase
funds for some corporate businesses. The government can reduce or increase funds available for borrowing
by individuals or businesses. More government spending can increase demand which can increase
employment and production. The decrease of government spending can have the opposite effect or a
slowing of the economy. Increasing government spending can increase taxes while decreased government
spending may result in lower taxes. The 16th Amendment of the Constitution authorizes Congress to tax
personal and business incomes. The Federal Reserve Bank maintains the value of the national currency or
the dollar. It regulates banks, and manages the money in the economy in dealing with inflation. Some have
called it the nation’s central bank.

Job Growth under U.S. Presidents from JFK to Obama.

25
21.5

20
17.267
15.9
15
11.9
10.5
10 8.8

5 3.6 How many Jobs added (in the millions)

2.4 2.6 2.1

0
International Economics
International Economics deals with studying trade and other economic situations that cross national
boundaries. Therefore, debates about globalization and international trade policies deal with international
economics. Gains and losses from trade also deals with international economics too. For decades and
centuries nations have discusses about trade tariffs and trade quotas. International finance is a
macroeconomic field which examines the flow of capital across international borders, and the effects of
these movements on exchange rates. Increased trade in goods, services and capital between countries is a
major effect of contemporary globalization. Globalization has many definitions among many different
people.

Globalization is the free flow of capital and resources across national boundaries with as little restrictions as
possible. Globalization is the total economic integration of the world's economy plainly speaking. Many
people support it and many people oppose globalization via protests and activism. Globalization is
controversial and it's part of the 21st century debate about economics. The distinct field of development
economics examines economic aspects of the economic development process in relatively low-income
countries focusing on structural change, poverty, and economic growth. Approaches in development
economics frequently incorporate social and political factors. The U.S. Export-Import Bank defines a
Marxist-Lenninist state as having a centrally planned economy. They are now rare, examples can still be
seen in Cuba, North Korea and Laos. Increased globalization has also made it easier for recessions to
spread from country to country. A reduction in economic activity in one country can lead to a reduction in
activity in its trading partners as a result of its consequent reduction in demand for their exports, which is
one of the mechanisms by which the business cycle is transmitted from country to country.

Empirical research confirms that the greater the trade linkage between countries the more coordinated are
their business cycles. Globalization can also have a significant influence upon the conduct of
macroeconomic policy. The Mundell–Fleming model and its extensions are often used to analyze the role of
capital mobility (and it was also used by Paul Krugman to give a simple account of the Asian financial crisis).
Part of the increase in income inequality that has taken place within countries is attributable - in some
cases - to globalization.

A recent IMF report demonstrates that the increase in inequality in the developing countries in the period
1981 to 2004 was due entirely to technological change, with globalization making a partially offsetting
negative contribution, and that in the developed countries globalization and technological change were
equally responsible. Professor Joseph Stiglitz of the School of International and Public Affairs, Columbia
University has advanced the infant industry case for protection in developing countries and criticized the
conditions imposed for help by the International Monetary Fund. Professor Dani Rodrik of Harvard has
noted that the benefits of globalization are unevenly spread, and that it has led to income inequalities, and
to damaging losses of social capital in the parent countries and to social stresses resulting from immigration
in the receiving countries. An extensive critical analysis of these contentions has been made by Martin
Wolf, and a lecture by Professor Jagdish Bhagwati has surveyed the debate that has taken place among
economists.
Various economic philosophies
There are many different types of economies in the world. The four major types of economics system in our
age include the traditional, command, market, and mixed. Each of these economic systems are not perfect.
They have strengthens and weaknesses as these systems are man-made. Human beings aren’t perfect, but
we know that certain economic systems have worked wonders for humanity. A traditional economy has
existed for thousands of years. A traditional economic system is one in which each new generation retains
the economic position of its parents and grandparents. Traditional economies rely on the historic success of
social customs. They are heavily rural and they are found in the Second or Third World. They use the land
via farming as well. They produce products and services as a result of their beliefs, customs, traditions,
religions, etc. They usually don’t produce massive surpluses.

The command economy is about a large part of the economic system being ruled by a centralized power. It
can be the federal government and other public entities. There are resources used by the government and
it regulates it. The government can own everything in the industrial process from the equipment to the
facilities in a command economy. Command economies are less flexible than market economies and react
slower to changes in consumer purchasing patterns and fluctuations in supply and demand. A market
economy involves the market controlling supply and demand. The government doesn’t control vital
resources, valuable goods, or any segment of the economy. Private organizations and private entities
determine how the economy runs, how supply is generated, and what demands should exist. Capitalism is
an economic system and an ideology based on the private ownership of the means of production. For a
long time, people have exposed the imperfections of capitalism since capitalism (with little to no restraints)
has historically centralized wealth into a few hands (and increased income inequality). For example, the
policies of neoliberalism, Reaganomics, and other actions never radically declined economic inequality.
Wealth today has been sent even more to the super wealthy than 30 years ago. Therefore, many scholars
desire a radical redistribution of wealth, so poor, homeless, and working class people can have not only
wealth, but resources to achieve their own lives more productively. Laissez Faire Capitalism has not only
been criticized by Karl Marx. It has been criticized by Dr. King, Malcolm X, Fred Hampton, Assata Shakur,
and other heroes.

Socialism is a range of economic and social systems characterized by social ownership and democratic
control of the means of production, as well as the political theories, and movements associated with them.
Social ownership may refer to forms of public, collective, or cooperative ownership, or to citizen ownership
of equity. There are many varieties of socialism and there is no single definition encapsulating all of them.
Social ownership is the common element shared by its various forms. There is no truly free market then or
now. In America, there are capitalist enterprises, but the government regulates the economy involving
trade, government programs, business, etc. Market economies separate the market and the government. A
mixed economy system is a combination of a market and command economies. There are many variations
of this. One example deals with American educational, transportation, and postal system. These industries
exist in the private sector, but they readily use public resources. America itself, in essence, has a mixed
economic system.
Economic Definitions

The following are important Economic terms that relate to the subject of economics:

*GDP-This is the gross domestic product. It is a monetary measure of the market value of all final goods
and services produced in a period (in quarterly or a year) or income.

*Nominal GDP-This measures the economic performance of a whole country or region. Nominal GDP per
capita doesn’t not reflect differences in the cost of living and the inflation rates of the countries.

*PPP-This is the purchasing power parity. This is the value of all final goods and services produced within a
country in a given year divided by the average (or mid-year) population for the same year. In 2015, the
average GDP per capita (or PPP) of all the countries of the world is $15,800. The United States of America
as of 2016 has the PPP of $18.75 trillion USD (or U.S. dollars)

*Per Capita GDP-This is the nation’s GDP divided by the country’s population. The GDP per capita of
America is $57,466.79 USD (2016).

*Federal Surplus-This is when we take in more than we spend.

*Stock-It is a certificate of ownership in a corporation

*Bonds-This involve a special loan or a formal contract to repay borrowed money with interest.

*Mutual Funds-It is diversity in stock or a pond portfolio. In other words, it is a professionally managed
investment fund that pools money from many investors to purchases securities. A security is a tradable
financial asset. They can be debt securities (like banknotes, bonds, and dentures), equity securities
(common stocks), and derivatives (like forwards, futures, options, and swaps). NYSE is the New York Stock
Exchange. NASDAQ is the second largest stock exchange in the world. DJIA (or the Dow Jones Industrial
Average) is an index to inform people of how the market is going. The S&P500 is the index of the 500
largest companies.
*Interest rate-This is the amount of interest due per period as a proportion of the amount lend, deposited, or
borrowed (called the principal sum). It is defined as the proportion of an amount loaned which a lender
charges as interest to the borrower, normally expressed as an annual percentage. It is the rate a bank or
other lender charges to borrow its money, or the rate a bank pays its savers for keeping money in an
account. Annual interest rate is the rate over a period of one year. Other interest rates apply over different
periods, such as a month or a day, but they are usually annualized. Interest is the money paid regularly at a
particular rate for the use of money lent, or for delaying the repayment of a debt. APR is the annual
percentage rate (It tells you how much it costs to borrow for one year, including interest costs and additional
fees related to a loan. APR is the “price” of a loan quoted in terms of an interest rate).

Knowing APR is key in understanding on how to pay for credit cards more effectiveness since credit cards
readily use APR rates on them. APR is an annualized rate of how much you have to pay if you borrow for
one full year. If the APR is 10 percent, the daily rate would be 0.0274 percent (0.10 divided by 365 =
.000274). 0% APR rates are short term rates since sooner or later, charges on interest will exist. So,
interest is about the cost of using somebody else’s money. When you borrow money, you pay interest.
When you lend money, you earn interest. An interest rate of five percent per year and a balance of $100
results in interest charges of $5 per year in using simple interest. In Simple Interest, one formula is I=P X R
X T. I is Interest, r is rate, P is principle, and T is time. Rate is used in percent, so 5% is equaled to 0.05.
Therefore, the principal is the amount of money you borrowed and have to pay back and the interests is
what the lender charges for lending you the money.

*Deflation-That is the general decrease in price (of goods and services during a period of time). Deflation
can happen when the interest rate falls below 0%.

*Inflation-That is the general increase in price (of goods and services during a period of time).

*CPI-This is the consumer price index. The CPI measures the changes of the price level of market basket of
consumer goods and services which are purchased by household. CPI is measured in economics and
statistics. CPI can be measured when the “updated cost" (i.e. the price of an item at a given year, e.g.: the
price of bread in 2010) is divided by that of the initial year (the price of bread in 1970), then multiplied by one
hundred. Another example is if a box of cereal once cost $2.50 but now costs $2.75, the result should be
1.1 if you have 2.75 (divide by) 2.50. Then, 100 X 1.1 would be the CPI of that cereal or 110. The Consumer
Price Index (CPI) is a measure of changes in product costs over a specific time period, and it is used as both
an indicator of the cost of living and economic growth.

*Unemployment rate-The percent of people who are actively looking for jobs, but don’t have one.

*Recession-Two consecutive quarters of economic decline.

*Depression-This is a severe recession, usually 18 months. It is filled with high unemployment and low
production.

*Prime rate-the lowest interest rate that banks give their valued customers (usually those with good credit.
Some variable interest rates may be expressed as a percentage above or below the prime rate).

*Import-Bringing goods into a country

*Export-Taking good out of the country. A trade surplus is when a nation exports more than it inputs. A
trade deficit is when a nation imports more than a nation exports. A tariff is a tax on imported goods.

*Exchange rate-That is the value of money in relation to other nations. In finance, an exchange rate of two
currencies is the rate at which one currency will be exchanged for another. It is also regarded as the value of
one country’s currency in relation to another currency. For example, an interbank exchange rate of 114
Japanese yen to the United States dollar means that ¥114 will be exchanged for each US$1 or that US$1
will be exchanged for each ¥114. In this case it is said that the price of a dollar in relation to yen is ¥114, or
equivalently that the price of a yen in relation to dollars is $1/114.

*Globalization-the concept of a global marketplace used for economic trade, little restrictions, etc. In
essence, globalization is about the free movement of goods, capital, and services including people
technology, and information with as little regulation as possible. It deals with international integration.

*Opportunity cost- When economists refer to the “opportunity cost” of a resource, they mean the value of
the next-highest-valued alternative use of that resource. If, for example, you spend time and money going to
a movie, you cannot spend that time at home reading a book, and you cannot spend the money on
something else. In other words, you are trying to make the best decision. It deals with scarcity and choice.

*Positive economics (as opposed to normative economics) is the branch of economics that concerns the
description and explanation of economic phenomena. It focuses on facts and cause-and-effect behavioral
relationships and includes the development and testing of economics theories. A time series is a series of
data points indexed (or listed or graphed) in time order. Most commonly, a time series is a sequence taken
at successive equally spaced points in time.

*Retail Price- The price of a good or product when it is sold to the end user for consumption, not for resale
through a third-party distribution channel.

*In economics, a real value of a good or other entity has been adjusted for inflation, enabling comparison of
quantities as if prices had not changed. In contrast with a real value, a nominal value has not been adjusted
for inflation, and so changes in nominal value reflect at least in part the effect of inflation

*Index Numbers- In economics and finance, an index is a statistical measure of changes in a representative
group of individual data points. These data may be derived from any number of sources, including company
performance, prices, productivity, and employment. An index number is an economic data figure reflecting
price or quantity compared with a standard or base value. The base usually equals 100 and the index
number is usually expressed as 100 times the ratio to the base value. For example, if a commodity costs
twice as much in 1970 as it did in 1960, its index number would be 200 relative to 1960. Index numbers are
used especially to compare business activity, the cost of living, and employment. They enable economists to
reduce unwieldy business data into easily understood terms.

*Normative economics (as opposed to positive economics) is a part of economics that expresses value or
normative judgments about economic fairness or what the outcome of the economy or goals of public policy
ought to be.
Occupations involving Economics

Throughout human history, economics has been key in a diversity of human endeavors. Therefore, there is
a wide spectrum of occupations that deal with economics. Economics deals with numbers, analyzing
information, and making predictions based on the best available data too. Many people, who are experts in
economics, study industry trends, labor markets, and other components of an economic system. There is
the career of the economist. He or she (who is an economist) regularly organize, gather, and interpret
economic data. He or she uses statistics and mathematical formulas to make predictions. They can be
involved in demographics, policy decisions, industry trends, climate change, etc. A great economist used
teamwork, communication abilities, and a way to create solutions. A market research analyst researches
market trends all of the time. They research data and economic conditions. An economic consultant helps
organizations, deal with businesses, and they carry out studies to research economic scenarios.

Some economic consultants can act as expert witnesses in legal cases to assess economic damages, analyze
intellectual property, antitrust issues, and address regulatory violations. An actuary uses mathematics in
order to find the possibility of fires, deaths, illnesses, and business failures. They use computer software to
deal with analyses too. They create graphs and charters and work with a management team. Credit analysis
use microeconomics to help their clients about funds and businesses. Financial analysts research
companies, industries, stocks, bonds, etc. for finance departments. A lawyer deals with economics like
corporate law, tax law, antitrust law, personal injury, medical malpractice. An owner of a business certain
deals with economics and it does require patience, determination, serious planning, collaboration, and a
great amount of financial knowledge. Business reporters are readily abundant too in America and
throughout the world. An economist, chartered accountant, data analyst, and forensic accountant are
other occupations related to economics.
Conclusion
Our eyes are open and we are woke. The Trump regime is still in existence. The Trump
administration revealed its Afghanistan war plan. The speech was filled with the goal of stop the
Taliban from ruling Afghanistan. He talked about ISIS, but it didn't give an explicit piece of
information of how to achieve his goals. The problem with his speech is that localized wars of
attrition usually at times can cause a defeat. He wants real results and the only solution is a long
term diplomatic, political solution where the diverse ethnic groups have some sense of political
stability. U.S. forces have been in Afghanistan for almost 16 years. Trump didn't want to reveal the
number of extra U.S. troops that he desires to send into Afghanistan. We have been through this
situation with Vietnam (with Nixon's Vietnamization, which was about Nixon allowing troops in
Vietnam and gradually sending them home and replacing them with South Vietnamese troops in
order for an American victory to exist). Trump gave no timetable of withdrawal since he refuses to
advocate a hasty withdrawal. Trump wants to send more military forces for the purpose of fighting
the Taliban and ISIS. Trump also made a provocative statement bout Pakistan, which has been
accused of harboring Haqqani forces. So, Trump will continue the War in Afghanistan, but he
lacked an explicit plan of how can he achieve plans. The Afghanistan war is a very complex war and
there no solution without a reasonable, negotiated resolution that requires input from the diverse
ethnic groups of Afghanistan.

Also, I have to mention information on this issue. DACA (many of whom are educated, are
veterans, and have experienced an extensive background check already. The majority of people in
DACA are employed or are students) will be decided on its future by Trump on Tuesday. The
Dreamers are undocumented immigrants (many of whom came into America as children) who
have received economic and educational opportunities. DACA is constitutional and has been done
in a similar fashion by previous Presidents as well. Over 800,000 people are included in the DACA
program. The previous President supported the policy in order to show compassion to fellow
human beings. There is a possibility that Trump may end the program. I don't believe that the
program should end since it has helped the lives of so many people and immigrant rights are
human rights. Just because an undocumented immigrant exists in America doesn't mean that this
person isn't an American. They are Americans. Xenophobia has no place anywhere in the world.
Also, Trump has made it clear that he opposes even some legal immigration. Therefore, we will
wait and see what he does. We know that the first Americans didn't speak English or sang the U.S.
anthem. We know that immigrants of diverse backgrounds (many immigrants are from Africa,
Mexico, Finland, Nicaragua, the Caribbean, etc.) make America better (they have paid taxes and
build up our GDP) and they contributed heavily to American history and culture. One poll says
recently that 64 percent of all Americans support the DACA program. Most Americans are right
on this issue. We desire true liberation among the human family.

We have seen some news media people being restrict to come to the President's press conferences.
We have seen a rise of hate crimes against Muslims in America. We have witnessed murderous cops
getting away with murdering innocent black human lives. Also, we have seen the massive Western
militarism worldwide as found in Yemen and in other places of the world. Even the New York
Times have documented Donald Trump's continued lies throughout his Presidency. From health
care to environmental issues, our lives definitely revolve around these important issues. There are
those who believe in the myth that the free market can solve all problems and we should have no
government regulation at any circumstances. That's ludicrous, because the private market is never
perfect and public resources have helped humanity for generations. There are those (like me) who
believe that the free market is not infallible and that legitimate regulations and public resources
are necessary to improve the lives of humanity. This is the progressive credo.

We will fight for our rights. That’s real talk.

By Timothy
 *During the Spring of 2018, I will start a new series about mathematics. Since math is very
important to know and many people among every age deal with it, it is time to show precise,
important information about this great subject. Also, I decided to do this since economics and
mathematics are interrelated on many levels.

The Following Outline shows how Mathematics is Beautiful and Diverse.

Part 1 *Intro and Elementary Math

*Pre-Algebra
Part 2 *Algebra

Part 3 *Geometry

Part 4 *Trigonometry

Part 5 *Precalculus (Plus Statistics)

Part 6 Calculus

Part 7 The History of Mathematics