An economy encompasses all of the activities related to the production, consumption, and trade of goods and services in an entity, whether the entity is a nation or a small town. No two economies are identical. Each is formed according to its own resources, culture, laws, history, and geography.

An economy encompasses all activity related to the production, consumption, trade, and distribution of available goods and services. The management of those resources is used to satisfy the needs of the people, businesses, organizations, and governments in a specific area.

An economy[a] is an area of the production, distribution and trade, as well as consumption of goods and services. In general, it is defined as a social domain that emphasize the practices, discourses, and material expressions associated with the production, use, and management of resources.

Economics is the study of how people allocate scarce resources for production, distribution, and consumption, both individually and collectively. The field of economics is connected with and has ramifications on many others, such as politics, government, law, and business. The two branches of economics are microeconomics and macroeconomics.

An economy is the system for deciding how scarce resources are used so that goods and services can be produced and consumed.