Economy

What is national economy? »Its definition and meaning

Anonim

The national economy is a set of sections of the production and work of a country, it includes construction, agriculture, industry, the credit system, transportation, among other sectors responsible for producing income to the country during its production.

There are two great economic doctrines and they are socialism and capitalism, in the latter the wealth is based on private property, encompassing most of the production methods, it develops in an anarchic way and its objective is to obtain dividends. The socialism, meanwhile, is based on the domain social and public of the funds production, it has a nature of programming and its ultimate goal is to satisfy the demands of the nation and each of its inhabitants.

To understand the economy we have to know its divisions, it is divided into two areas: microeconomics and macroeconomics.

Microeconomics is the analysis of the alternatives made by the inhabitants, companies and the government, known as economic agents, based on the behavior of the country's hardships. Microeconomics explains how certain comparable variables are determined such as the amount of possessions and services, the level of wages; among others. All this with the sole objective of achieving total satisfaction or affordable profit for the system.

For its part, macroeconomics refers to the analysis of the functioning of national and integral capital, analyzing variables such as: total income and services produced in a stipulated period of time, total goods obtained, the level of employment and productive resources, as well as the balance of payments and the general behavior of prices.