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Difference Between Business and Economics

What is the difference between Business and Economics?

 

 

Economics is a social science that attempts to explain how the actions and decisions of firms, consumers and workers and governments affect the operation of the economy.  It plays a huge role in our daily lives; it has links to international affairs and politics and is a subject that is often debated and discussed.  It requires a fair deal of analysis and includes topics such as supply and demand, growth, inflation, globalisation and exchange rates.

Business is more concerned with the actions and decisions taken by firms and focuses on topics such as marketing, staff in the organisation, accounting and finance, management, strategy and production methods.   Business studies students will also have to cover some Economics, as it affects how businesses operate in their external environments.

Although Business is not free from theory, it is less theoretical than Economics.   Business Studies requires less understanding than Economics, but it by no means an easy subject; instead it involves more learning and therefore has more work to cover, and a great deal of new terminology to grapple with. Therefore you might say that Economics course has more depth, with the Business course having more breadth

You do need to be great at maths for either of these courses.  However, for Economics, being comfortable with numbers is desirable due to the need to study graphs and economic data; the Business course actually requires a greater use of numbers - through the study of accounting and finance– and therefore being comfortable with numbers is essential.  Given the nature of the topics covered, a degree in Economics or Business can take you into almost any occupation.  According to a recent survey, although Business Studies is the most popular degree course in the UK, Economics students are the second highest paid graduates in the country!