Answer to Question #172372 in Microeconomics for Salman Pasha

Question

What does it mean to think like an economist?

Answer 1

Thinking like an economist means assessing the actualities without allowing opinion or logical fallacies to enter into the calculation. Economists evaluate the “cost” of individual and social choices to determine the best choices for themselves or others in the face of this scarcity. Scarcity means that virtually all actions incur an opportunity cost.