What is Applied Economics?
While the term of applied economics may be utilized in a slightly different manner according to different economic theories, it is possible to arrive at a working definition of applied economics that will work in most situations. Essentially, applied economics is employment of the basic assumptions of economics to real world situations, both isolated and interrelated with sets of current circumstances. Thus applied economics involves economists taking generally accepted theory and applying those theories to something that is happening in the here and now, with an eye to determining what can reasonably be expected to happen next.
