Normative Economics vs Positive Economics Normative Economics and Positive Economics are two distinct fields of economics that have a lot of overlap but more differences than similarities. In this article, we will discuss the main differences between Normative Economics and Positive Economics, along with their respective goals and methods. We...
Economic Factors and Businesses Economic factors are external forces that can have an influence on businesses. Examples of these economic factors include interest or inflation rates, employment or the stock market. Any of these economic factors can have a positive or a negative influence on businesses. This article will explain...
Productivity economics is an important field of study for many businesses and economic organizations. This subject area deals with understanding how to measure and track productivity in an organization, and what measures can be taken to improve performance in this metric. Productivity is largely measured based on the output...
The service economy is an economic system that focuses on the production and consumption of services instead of goods. It has gained prominence in recent years due to advances in technology enabling more of the population to operate in service-based industries. This article will discuss the definition, characteristics, advantages,...
Taylor Rule Economics Taylor rule economics is an economic concept developed by economist John B. Taylor, which proposes rules for setting the target interest rate for monetary policy. The rule has been widely embraced by central banks around the world and has played a major role in helping to stabilize...
Substitution Effect Definition: Definition, Examples, and Adverse Effects on the Economy
The substitution effect, in economics, is a phenomenon that occurs when an increase in the price of a good or service results in a decrease in demand. It occurs when consumers are forced to replace the good or service...
Mark Blaug's Examination of Economic Theories and ConceptsMark Blaug is a British economist who specialized in the history and methodology of economics, and is recognized as one of the most famous members of the academic economic profession. He is most well-known for his critique of traditional economic theories, as...
Kenneth Arrow's Proof of the Incompatibility of Certain Voting Systems Kenneth Arrow was an American mathematician, economist, and social theorist who won the Nobel Prize in Economics in 1972. In 1951, in his paper “Social Choice and Individual Values”, he provided a famous proof demonstrating the incompatibility of certain voting...
Ludwig von Mises' Defense of Free Markets and Individual Liberty
Ludwig von Mises is one of the most influential figures in the history of economic thought. His work has been influential in the development of economic theories, and his writings on free-market economies have been used to defend economic liberty...
