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What is economic theory?

Economic theory is a framework of concepts, principles, and models used to analyze and understand the functioning of economic systems. It is a systematic approach to studying how societies allocate resources to produce, distribute, and consume goods and services. It also aims to provide a coherent and logical explanation of economic phenomena.

What does economics stand for?

For other uses, see Economics (disambiguation). Economics ( / ˌɛkəˈnɒmɪks, ˌiːkə -/) is a social science that studies the production, distribution, and consumption of goods and services. Economics focuses on the behaviour and interactions of economic agents and how economies work.

What is monetary theory?

Monetarism is a macroeconomic theory stating that governments can foster economic stability by targeting the growth rate of the money supply.

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