The word “Economy” comes from two Greek words – oikos (meaning house) and nemein (meaning manage) – its original meaning was ‘household management’ and in Persian means to spend in moderation and carefully. However, “Economics” is the study of how scarce resources are optimally allocated and how people make decisions to do so. All economic systems seek to answer the three basic questions:
• What to produce?
A capitalist economy answers these questions based on market rules and prices; But a socialist system seeks to answer them based on central planning. Obviously, answers to these questions will vary according to values of each society and period. Thus, economic issues are divided into positive and normative. Positive Economics analyzes the facts and what is currently happening; while normative Economics deals with what the economy "should be" or "ought to be." For close analysis of economic issues, Economics is divided into various branches and the different subfields are studied in detail from different aspects.
• How to produce?
• For whom to produce?
Given the breadth of economic issues and the scope of economics, there are better employment opportunities for graduates in this field than graduates of other fields of Humanities. Because all organizations and institutions, whether public or private, have to deal with such economic issues as profits, market sustainability, taxes and employment, and they are also affected by macroeconomic policies such as inflation, economic growth, income distribution, exchange rates and other economic concepts. As economic actors, all individuals, with any social identity are engaged in allocating resources and achieving economic goals, and graduates of economics can, directly or indirectly, provide professional advice to economic units at any stage.