Logic and methodology of economics

Logic and methodology of economics

Prof. Dr Moustafa El-Abdallah Al Kafry

Economists use the scientific approach in their understanding of the nature of economic life and economic activity. This means that they monitor economic phenomena, relying on statistics, data and historical records, Statistics & Historical Records. In some of the most complex phenomena, such as: the effects resulting from the budget deficit, and the search for the causes of inflation and unemployment, therefore, the role of extrapolating historical records and empirical research that provided economists with a mine rich in visions and points of view emerged. f) Economics is based on analysis and theory, as theoretical approaches allow economists to adopt more general views, such as those related to the advantages of international trade, specialization, or tariff barriers, and regulated import quotas. In addition, econometrics have been developed by economists. Who uses statistical tools in the field of economic networks Thanks to econometrics, economists have been able to delve into hills of data and information, in order to extract simple or complex relationships).
Economics seems like an endless succession of perplexing questions, problems, dilemmas, and nerve-racking ambiguous situations related to human economic activity. It must be emphasized that there are basic concepts that form the bases and foundations of all economic activity. Once these concepts are understood, the study will take place faster and more interesting, so we preferred to focus on the main essence of economics, and on the facts that will remain important throughout the ages, as microeconomic concepts such as supply, demand and prices will remain at the level of the economic unit, scarcity, efficiency and gains resulting from the idea Specialization, the principle of comparative advantage, and economic activity at the level of the economic unit are major and pivotal concepts. Macroeconomic concepts should also be studied, especially with regard to aggregate supply and demand, as well as the need for our understanding of the importance of the role played by national and global criticism. Study and comprehend the theory of economic growth and controversial theories about the economic cycle.
This means that economics tries to answer a wide range of questions related to economic human activity that includes production and exchange, distribution and consumption, public finances, money supply, deposit size, internal and international trade, and agricultural, industrial and service establishments. Economics is concerned with the relationships between buyers and sellers in a market. Economics also has wide relations with various other sciences, especially social sciences, such as politics, law, demography, geography, history, and others.
Innovation in economics:
Economics is characterized by extreme vigilance and rapid response to successive developments and innovations. The most striking features of the modern economy appear in the rapid speed of innovation and the invention and renewal processes that extend to almost all sectors. Where the Internet makes a major revolution in the areas of communication as it invades the world of industry and commerce. History over the past three decades has not recorded such a rapid rate of development as today with the modern technologies of computers and communications. Hence, our understanding of economic and political trends must reflect the rapid change involving the entire society.
The horizons of economics have broadened to include environmental studies, legal studies, statistical methods, history, art, literature, racial segregation, ethnic discrimination, and even family life. However, the science of economics represents in its essence the science of free choices, which refers to the freedom to choose the most important issues and study them, like food.
History shows us that economic ideas can result in huge waves of reform and development if they are applied to solve the economic problem in the world. Among the most important of these challenges is the process of applying economics to solve environmental problems, protecting the environment, and economic innovations in the developed regulation mechanisms. And the future of humanity in the development of the method of dealing with global public goods and changes in weather and climate, and new directions for dealing with international environmental problems approved by the World Environment Conference and the Kyoto Protocol in 1992.
Prof. Dr Moustafa El-Abdallah Al Kafry
Faculty of Economics – Damascus University