I. What Is an Economy?

Studying Economies

The study of economies and the factors affecting economies is called economics. The discipline of economics can be broken into two major areas of focus, microeconomics, and macroeconomics.

Microeconomics

Microeconomics studies the behavior of individual people and businesses in order to understand why they make the economic decisions they do and how these decisions affect the larger economic system.
Microeconomics studies how a particular value is attached to a product or service. It examines how individuals coordinate and cooperate with each other in business.
Microeconomics tends to focus on economic tendencies, such as how individual choices and actions impact changes in production.
Clearly, principles of psychology and marketing influence microeconomics.

Macroeconomics

As the name implies, macroeconomics studies the big picture.
Macroeconomics includes the study of economy-wide factors such as the effect of rising prices or inflation on the economy. It seeks to track and understand the financial indicators that clarify an economy's success or failure over time, such as gross domestic product (GDP), changes in unemployment, and consumer spending.
In short, macroeconomics studies how the economy as a whole behaves.
II. What is economical management ?
Although it is difficult to define content management can say that it covers all sides of human activity, and
in achieving the company goal, rational division of labor and hierarchy management authority remain key areas of
managerial activity. Firm productivity goal is a good or a service that meets the needs of its customers. The division
of labor is the separation of a distinct component activities and their distribution as tasks to be performed by
individuals and / or groups of specialists. The end result of work performed by each participant according to the
division of labor tasks will be to achieve / achieve the company goal. The hierarchy of authority. Coordination of
work components defined by the division of labor within a firm is done by managers through their formal authority.
Authority is the right manager to distribute tasks and directing the work of other people in order to provide a
relevant work for the company. When a manager makes use of authority in his relations with subordinates is the
responsibility of representing a response time requirement for the authority and subordinates accountable to manager
tasks. Usually, in a company there are several management positions, it is necessary to prioritize them according to
size of each authority. In a hierarchy, the head company is located on the highest level of formal authority. In a
board of directors, the hierarchy of authority is as follows: president, vice president, managers, etc.. Authority is
present in all management firms with the same fundamental nature, although the change in scale or degree can
record size. Over time they have won several kinds of authority including: traditional authority, the behavioral,
functional authority, the integrated horizontal authority relations. Traditional authority is defined as the right to
control the power to make yourself heard. So this kind of authority, defines two essential elements: the right to order
the orders are essential and the power to enforce their execution. Authority is the character of a communication
behavior or order under which it is accepted by the members of a structure. According to this definition only persons
to whom an order is addressed to determine whether or not it has authority. So, in this view, the real source of power
is superior, but subordinate and that because a man can exercise only the power that other people are willing to
allow him. Functional authority is trying to link the action with the time factor, stating that what is done is the result
of rational management authority and duration not exceeding the action. Authority is a functional component of the
work that generates and maintains making a stop with its own end. Authority is based integrated freedom or freedom
of action to execute, expressed by two essential elements, namely, substituting declaration and skill elements "right"
and "power" of schools listed above. The basic source of this kind of authority is itself the extent to which the
manager is prone to assume responsibility for both results and methods used to obtain them. Authority is like
horizontal relations, authority structures generated by the communication matrix where hierarchies exist only insofar
as there is recognition of the unique chain linking the head contractor that is professional competence and skills for
human relations. This authority is based mainly on a certain charisma and skills. It's the kind of authority that
focuses the power of authentic values and nodes of authority arises in matrix structure, in terms of competitive
competence of specialist traditional hierarchically great project, it is recognized either by replacing the last with the
first, either by maintaining specialist and next project.
1. The importance of process management within the firm.
Business process management in all phases is the process that determines its objectives and embedded
subsystems, resources and processes needed for their work and their contractors, which integrates and coordinates
the work of staff using complex methods and techniques to achieve the most effective for reasons that have led to
the establishment of that organization. The management processes are recorded several components called features
or attributes: foresight, organization, coordination, training, control and evaluation. The assembly functions
(attributes) management process typically gives content is exercised in all socio-economic systems. Typical process
management, the way they are designed and carried out its functions, is done in three phases. Prospective phase
function prediction made by the predominance and exercise a greater or lesser extent the other functions of the
management process. This phase is focused on anticipating the ways, methods, organizational solutions, motivation
and evaluation, according to a predetermined development enterprise. Phase corresponding forecast such
anticipatory management and focuses on setting targets, strategic and tactical decisions. Operationalization phase is
Although it is difficult to define content management can say that it covers all sides of human activity, and
in achieving the company goal, rational division of labor and hierarchy management authority remain key areas of
managerial activity. Firm productivity goal is a good or a service that meets the needs of its customers. The division
of labor is the separation of a distinct component activities and their distribution as tasks to be performed by
individuals and / or groups of specialists. The end result of work performed by each participant according to the
division of labor tasks will be to achieve / achieve the company goal. The hierarchy of authority. Coordination of
work components defined by the division of labor within a firm is done by managers through their formal authority.
Authority is the right manager to distribute tasks and directing the work of other people in order to provide a
relevant work for the company. When a manager makes use of authority in his relations with subordinates is the
responsibility of representing a response time requirement for the authority and subordinates accountable to manager
tasks. Usually, in a company there are several management positions, it is necessary to prioritize them according to
size of each authority. In a hierarchy, the head company is located on the highest level of formal authority. In a
board of directors, the hierarchy of authority is as follows: president, vice president, managers, etc.. Authority is
present in all management firms with the same fundamental nature, although the change in scale or degree can
record size. Over time they have won several kinds of authority including: traditional authority, the behavioral,
functional authority, the integrated horizontal authority relations. Traditional authority is defined as the right to
control the power to make yourself heard. So this kind of authority, defines two essential elements: the right to order
the orders are essential and the power to enforce their execution. Authority is the character of a communication
behavior or order under which it is accepted by the members of a structure. According to this definition only persons
to whom an order is addressed to determine whether or not it has authority. So, in this view, the real source of power
is superior, but subordinate and that because a man can exercise only the power that other people are willing to
allow him. Functional authority is trying to link the action with the time factor, stating that what is done is the result
of rational management authority and duration not exceeding the action. Authority is a functional component of the
work that generates and maintains making a stop with its own end. Authority is based integrated freedom or freedom
of action to execute, expressed by two essential elements, namely, substituting declaration and skill elements "right"
and "power" of schools listed above. The basic source of this kind of authority is itself the extent to which the
manager is prone to assume responsibility for both results and methods used to obtain them. Authority is like
horizontal relations, authority structures generated by the communication matrix where hierarchies exist only insofar
as there is recognition of the unique chain linking the head contractor that is professional competence and skills for
human relations. This authority is based mainly on a certain charisma and skills. It's the kind of authority that
focuses the power of authentic values and nodes of authority arises in matrix structure, in terms of competitive
competence of specialist traditional hierarchically great project, it is recognized either by replacing the last with the
first, either by maintaining specialist and next project.
1. The importance of process management within the firm.
Business process management in all phases is the process that determines its objectives and embedded
subsystems, resources and processes needed for their work and their contractors, which integrates and coordinates
the work of staff using complex methods and techniques to achieve the most effective for reasons that have led to
the establishment of that organization. The management processes are recorded several components called features
or attributes: foresight, organization, coordination, training, control and evaluation. The assembly functions
(attributes) management process typically gives content is exercised in all socio-economic systems. Typical process
management, the way they are designed and carried out its functions, is done in three phases. Prospective phase
function prediction made by the predominance and exercise a greater or lesser extent the other functions of the
management process. This phase is focused on anticipating the ways, methods, organizational solutions, motivation
and evaluation, according to a predetermined development enterprise. Phase corresponding forecast such
anticipatory management and focuses on setting targets, strategic and tactical decisions. Operationalization phase is
Although it is difficult to define content management can say that it covers all sides of human activity, and
in achieving the company goal, rational division of labor and hierarchy management authority remain key areas of
managerial activity. Firm productivity goal is a good or a service that meets the needs of its customers. The division
of labor is the separation of a distinct component activities and their distribution as tasks to be performed by
individuals and / or groups of specialists. The end result of work performed by each participant according to the
division of labor tasks will be to achieve / achieve the company goal. The hierarchy of authority. Coordination of
work components defined by the division of labor within a firm is done by managers through their formal authority.
Authority is the right manager to distribute tasks and directing the work of other people in order to provide a
relevant work for the company. When a manager makes use of authority in his relations with subordinates is the
responsibility of representing a response time requirement for the authority and subordinates accountable to manager
tasks. Usually, in a company there are several management positions, it is necessary to prioritize them according to
size of each authority. In a hierarchy, the head company is located on the highest level of formal authority. In a
board of directors, the hierarchy of authority is as follows: president, vice president, managers, etc.. Authority is
present in all management firms with the same fundamental nature, although the change in scale or degree can
record size. Over time they have won several kinds of authority including: traditional authority, the behavioral,
functional authority, the integrated horizontal authority relations. Traditional authority is defined as the right to
control the power to make yourself heard. So this kind of authority, defines two essential elements: the right to order
the orders are essential and the power to enforce their execution. Authority is the character of a communication
behavior or order under which it is accepted by the members of a structure. According to this definition only persons
to whom an order is addressed to determine whether or not it has authority. So, in this view, the real source of power
is superior, but subordinate and that because a man can exercise only the power that other people are willing to
allow him. Functional authority is trying to link the action with the time factor, stating that what is done is the result
of rational management authority and duration not exceeding the action. Authority is a functional component of the
work that generates and maintains making a stop with its own end. Authority is based integrated freedom or freedom
of action to execute, expressed by two essential elements, namely, substituting declaration and skill elements "right"
and "power" of schools listed above. The basic source of this kind of authority is itself the extent to which the
manager is prone to assume responsibility for both results and methods used to obtain them. Authority is like
horizontal relations, authority structures generated by the communication matrix where hierarchies exist only insofar
as there is recognition of the unique chain linking the head contractor that is professional competence and skills for
human relations. This authority is based mainly on a certain charisma and skills. It's the kind of authority that
focuses the power of authentic values and nodes of authority arises in matrix structure, in terms of competitive
competence of specialist traditional hierarchically great project, it is recognized either by replacing the last with the
first, either by maintaining specialist and next project.
1. The importance of process management within the firm.
Business process management in all phases is the process that determines its objectives and embedded
subsystems, resources and processes needed for their work and their contractors, which integrates and coordinates
the work of staff using complex methods and techniques to achieve the most effective for reasons that have led to
the establishment of that organization. The management processes are recorded several components called features
or attributes: foresight, organization, coordination, training, control and evaluation. The assembly functions
(attributes) management process typically gives content is exercised in all socio-economic systems. Typical process
management, the way they are designed and carried out its functions, is done in three phases. Prospective phase
function prediction made by the predominance and exercise a greater or lesser extent the other functions of the
management process. This phase is focused on anticipating the ways, methods, organizational solutions, motivation
and evaluation, according to a predetermined development enterprise. Phase corresponding forecast such
anticipatory management and focuses on setting targets, strategic and tactical decisions. Operationalization phase is
As human numbers increase and economic activity expands, demands on the natural environment grow more intense and varied. Using any single resource for a particular purpose at a given date invariably involves trade-offs. These can easily be cross-sectoral or international. Likewise, the opportunity costs associated with resource use are often intertemporal, as opposed to occurring within a single time period. Economics provides a conceptual framework for assessing all these trade-offs. Capital theory furnishes guidance for allocating resources between present and future use. Also, the literature on market failure addresses the reasons for inadequate internalization of environmental values, the inefficiencies that result when firms and households do not consider all the benefits and costs of resource use, as well as remedial public policies. Finally, economists emphasize that the debate over sustainability revolves largely around substitution issues. Can consumers, for example, maintain constant levels of satisfaction or enjoyment if reduced availability of environmental goods and services is compensated for by increased supplies of other things? Can firms maintain output in the face of resource depletion through investment in human capital and other kinds of productive wealth? Concerns about sustainability are directly related to the conviction that opportunities for substitution are limited in one way or another. For most of the time since the last Ice Age ended and agriculture began, approximately 10 000 years ago, natural resource management was, at most, a local concern. Expressions of concern about resource exhaustion date back several centuries. But as long as the global population did not exceed a few hundred million and the vast majority of people farmed, relying almost entirely on muscle power provided by themselves and draft animals, the human footprint on the environment—to apply a modern idea—was transitory and light. Things started to change 500 years ago. Sometimes involving trade and sometimes based on exploitation, international economic exchange grew. Human numbers did so as well. But even in 1798, when the first edition of Malthus’s magnum opus was published, the global population had not yet reached one billion. Malthus’s model of population dynamics described human existence reasonably well— existence through the 1700s, that is. Positing that human numbers increase exponentially whenever average living standards are above bare subsistence, while agricultural output only exhibits a linear growth trend, Malthus concluded that there is a stable demographic equilibrium in which everyone is minimally fed, clothed, and housed, nothing more and nothing less. When these observations were first offered, the historical basis for them was sound. Indeed, they were applicable in many parts of the world throughout the nineteenth century and into the twentieth. Even while Malthus was alive, though, population trends were starting to be driven by something other than heedless procreation during times of abundance and illness and starvation whenever food supplies came up short. As Malthus acknowledged in the second edition of his book, published in 1803, people can be motivated by a desire for self-improvement, acquiring skills, finding ways around environmental impediments to material progress, and limiting their fertility. In modern times, more and more people have enjoyed the opportunities for selfimprovement that markets provide. As a result, something inconceivable to Malthusians (past and present) has occurred. Human numbers have increased, from approximately 800 million in 1800 to six billion at the beginning of the twenty-first century, while the real value of global output has gone up forty-fold. Moreover, as Johnson (2000), an agricultural economist, explains, the benefits of this expansion—in terms of longer lives, better diets, and all other measures—have spread around the world. To be sure, simultaneous growth in the population and average living standards has made environmental management more of a challenge. The real question to be addressed is whether this challenge will continue to be overcome, as it has been consistently during the past two centuries. The prospects for doing this will be enhanced if management guidelines suggested by economic analysis are applied. Whether or not this occurs, of course, depends on the outcome of political interchange, which certainly is not driven exclusively, or even primarily, by efficiency and other criteria that economists use to assess management and policy choices.