Economics in Action

The Economist devotes 15 pages to the coming battle for talented employees. Many firms have gone as far as they can with automation and streamlining, so further improvements in productivity have to come on the human side, meaning their ability to recruit and keep bright, talented staff. While manual workers are increasingly replaced by automation, knowledge workers who can manage people and resources creatively and profitably will be increasingly in demand. As the workforce ages and jobs become more complex, competition for the best individuals will heat up.

You might be reading this as a young adult, considering how you will be earning money in the first half of the 21st Century. You might conclude that it is important to develop and prove your own abilities with a degree, especially in a course that involves numeracy and problem-solving. Far be it from WhyStudyEconomics to suggest a subject…

Further reading: “The battle for brainpower”, The Economist, 7th October 2006
Further reading: Frequently Asked Questions about studying Economics

Economics research has a surprisingly large amount to say about dating, sex and relationships. Take Alan Collins, for whom personal ads are potential research data. Collins – an economist at the University of Portsmouth – researches topics including the economics of love, sex and dating. (Rock bands and cigarettes also feature in his research, but not at the same time).

He and his colleagues apply economic analysis to personal ads and to survey data. In “The Surrender Calue of Capital Assets: The Economics of Strategic Virginity Loss” he looks at the extent to which people lose their virginity because of being in love. He finds a reliable difference between male and female attitudes, with males more likely to pursue sex for its own sake and females more likely to use virginity “strategically” as a way to get romance.

It may be a common generalisation, but research like this can examine to what extent it is true, and how attitudes to virginity loss are affected by religion, age and the way in which subjects learned about sex.

Read More: (You may have to have university internet access to read these research papers)
“Surrender Value of Capital Assets: The Economics of Strategic Virginity Loss” Journal of Bioeconomics, v2 n3, October, 2000
“Gender Differences in Mate Search Effort: An Exploratory Economic Analysis of Personal Advertisements”, Applied Economics, 1998, 30, (10), 1277-85

From the New Scientist:

“An analysis of how cells in a tumour cooperate has provided a unique insight into the evolution of cancer, and may lead to new treatments.

“It makes use of ‘game theory’ the mix of mathematics and economics that has been invaluable in understanding how cooperation can evolve in animal societies, even when individuals are selfish.

“The ‘game’ to grow a successful tumour proceeds more efficiently for all [cellls] if they cooperate, and this can occur without requiring the players to make conscious strategies.”

Read more: “Do cancer cells cooperate with each other?”, New Scientist, 28 August 2006.

From the BBC, “Pupils warned A-levels unsuitable”, 23 August 2006:

“Pupils are being advised to avoid taking certain A-level subjects if they want to get places at top universities. Subjects less favoured […] include accounting, business studies, film studies, media studies and travel and tourism.”

From the London School of Economics and Political Science’s “How to Apply” page:

“Mathematics, French and Economics would be a suitable combination for almost any of our degrees. Mathematics, French and Business would be acceptable, but we would prefer the first example. On the other hand, Mathematics, Accounting and Media Studies would not normally be considered as suitable.”

The UK has the fourth cleanest water in the world, and the fourth highest per capita military spending. A coffee from Starbucks involves resources from up to nineteen different countries. These are some of the hundreds of facts presented in interesting visual summaries by the International Networks Archive. Topics include The Global Arms Trade, the Coming Water Wars and the global success of McDonald’s.

Hatred of immigrants, sometimes translating into violence, is not only harmful to the immigrants themselves but is damaging the South African economy, reports the South African Human Rights Commission.

Immigrants workers and traders not only help the economy by providing skilled labour, but also spend money on goods and services. Traditional prejudices about immigrants from the rest of Africa contribute to an incorrect perception that they are contributing to crime and abusing social services.

Read more: “Xenophobia has an economic cost”, IRINNews.org, 31 July 2006.

Reference: “Report of the Open Hearings on Xenophobia and problems related to it”, SAHRC, 15 June 2006.