Write a two paragraph persuasive essay on how important economic resources are in society

I would suggest the main importance of economics is helping society decide on the optimal allocation of our limited resources. The fundamental problem of economic is said to be scarcity - the idea that wants (demand) is greater than the resources we have. Frequently we face choices on:

What to produceHow to produceFor whom to Produce

Economics helps to decide on questions like this. More specifically economics is important in these areas.

How to manage the macro economy.

Economists can advise governments how to manage the economy and avoid problems such as inflation and unemployment. Both inflation and mass unemployment can be devastating for society. Economists argue that both can be avoided through careful economic policies. For example:

Policies to reduce unemploymentPolicies to reduce inflation

If economics can help reduce unemployment, then it can make a big improvement to economic welfare. For example, the mass unemployment of the 1930s great depression, led to much political instability and the rise of extremist political parties across Europe.

However, the problem is that economists may often disagree on the best solution to these problems. For example, at the start of the great depression in 1930, leading economists in the UK Treasury suggested that the UK needed to balance the budget; i.e. higher taxes, lower unemployment benefits. But, this made the recession deeper and led to a fall in demand. 

It was in the great depression that John Maynard Keynes developed his general theory of Employment, Income and Money. He argued that classical economics had the wrong approach for dealing with depressions. Keynes argued that the economy needed expansionary fiscal policy. - higher borrowing and government spending.

2. Overcoming Market Failure.

Generally it is considered that free markets offer a better solution than a planned economy (Communist) However, free markets invariable lead to problems such as

The over production of negative externalities (e.g. pollution)The underproduction of goods withpositive externalities (e.g. education, health care, public transport).Non provision of Public Goods

An economist can suggest policies to overcome these types of market failures. For example

Tax negative externalitiesSubsidise public services like health care and education.

The importance of economics is that we can examine whether society is better off through government intervention to influence changes in the provision of certain goods.

Some Topical Issues Economists are concerned with
Carbon Tax - should we implement a carbon tax to reduce global warming.Should we tax fatty foods?Arguments for Road pricing
Efficiency

Another area where economists have a role to play is in improving efficiency. For example economists may suggest supply side policiesto improve the efficiency of an economy.

Individual Economics

Economics is also important for an individual. For example, every decision we take involves an opportunity cost - which is more valuable working overtime or having more leisure time?

As citizens grow increasingly wary of whose interests are being represented in the public policy arena, especially in light of recent sensational scandals showing a cozy relationship between professional lobbyists and lawmakers, a crisis of confidence is engulfing many democratic societies across the european and north american continents. public perceptions of undue influence peddling, in which special interest groups exercise too much sway over government for self-serving purposes, have led to growing demands for the regulation of lobbyists and transparency of the policymaking process. the united states and canada have been struggling for decades to refine their systems of lobbyist regulation. of all the shortcomings of the north american model of lobbyist regulation – and there are many – transparency is not, for the most part, one of them. many european countries have also been experimenting with systems of lobbyist regulation. until recently, however, the european national experiments have produced very different results among themselves and in comparison with the north american counterparts. surprisingly, some of the earliest efforts to regulate lobbying occurred among new democratic countries in eastern europe rather than the more advanced industrial democracies of western europe. this observation stands in stark contrast to the north american experience, where lobbyist regulation emerged as an effort to manage a highly developed class of professional lobbyists within the strictures of long-standing democratic principles. the authors find that the answer to this anomaly lies in the fact that early european lobbyist regulations focused not on  transparency  as a means to regain public confidence in government, but on providing business interests with  access  to lawmakers as a means to bolster fledgling economies. this focus on access is quickly giving way to demands for transparency as many european governments, racked by scandal, are striving to salvage the public's trust. propelled largely by example from a reluctant european parliament and commission, which are themselves attempting to convince europe that a regional government is in its own interest, several european countries are beginning to make a transition from weak systems of lobbyist regulation, which emphasize business access, to strong systems of lobbyist regulation, which emphasize public transparency. in order to discern ‘best’ practices for achieving transparency through lobbying regulation, the authors first chart the regulatory systems of the united states and canada. that is followed by an analysis of all of the european lobbying regimes. the oft-expressed objection to this new trend toward transparency in europe – that professional lobbyists view such regulations as overly burdensome – is undercut by research on european and american lobbyists’ attitudes toward regulation, which are generally quite favorable. like everyone else, lobbyists realize that they have an image problem and that the best way to address that problem is by operating in the broad daylight of public transparency. finally, the authors offer recommendations on how to enhance transparency in policymaking, drawing from detailed comparisons of the north american and european models of lobbyist regulation.

It is state and federali really hope this