It’s amazing how it changes your view. In assembly, the A level Economics group shattered illusions about the form money takes, explaining that it isn’t something solid or plastic or paper; it doesn’t even have physical form. Rather, it’s a system that works, though we shouldn’t feel entirely safe. During the Credit Crunch in 2008 we were 24 hours away from no money coming out of cash machines.
We heard from Ana about Behavioural Economics, the influence that, for example, an emoji has in encouraging us to join a caring for our environment scheme, or how painted arrows nudge us to choose one route over another when we supermarket shop.
“Studying Economics has altered the way I understand the world, from Politics in the UK to the development of low income countries. Knowing the basics of Economics theory has helped me to understand, for example, why it’s sometimes cheaper to buy goods in other countries in other currencies. How do companies decide what price to sell their products at, and how do we assess if it’s fair? I can also see the bigger picture in terms of our national and indeed global, social, political and economic spheres.” Emily
“I hope I understand more about what’s going on in the news, for example, the hold the unions may have in the current transport strikes. In the case of the junior doctors, Economics tells me that a large part of the problem is that the government is a monopsony – the only buyer of doctors’ services - and the doctors are a monopoly – the only sellers of the service.” Hope
“Personally I am extremely engaged in Politics and studying it alongside Economics is a big advantage. The most interesting part has been learning not only what the government does to interfere in the economy, but also what it doesn’t do. This balance might seem simple, but it determines exactly how much of our money we get to keep to spend as individuals, or whether we trust the government to spend our money in the best way for society as a whole. Learning about Economics helps you to understand the consequences of these everyday decisions made by our politicians and policy-makers.” Susannah
This is a world were women are increasingly empowered. We might rail against the injustice that Anna Schwartz was never credited appropriately for the work she co-authored with Milton Friedman. He won the Nobel prize for it. However, Christine Lagarde, the Head of the International Monetary Fund, Angela Merckel, the German Chancellor and Janet Yellen, the Head of the Federal Reserve, the Central Bank of the USA, have certainly demonstrated that women economists can make their mark. Study it, love it and go for it, girls.