Topics

1.1 What is economics?

Economics = social science, because:

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It deals with human society and behavior(how societies organize their activities,how they behave to meet their needs and wants)

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Its approach to studying human society is based on the scientific method.

Due to the complexities within societies, economists build models so as to better understand certain interactions

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A model is a simplified version of reality

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All models make a range of assumptions. These are often generalized on behaviors, choices and outcomes

1. Introduction to Economics