What is the economy?

The economy is the organization of the use of scarce, limited or finite resources when it is implemented in order to best satisfy individual or collective needs, and it is also the system of interactions that guarantees a type of organization, also called the economic system. The subjects who create such systems of organization can be people, organizations or institutions. Normally the subjects called “agents” or “actors” or economic “operators”, active in a given territory, are considered; however, interactions with other subjects active outside the territory are also taken into account. The economic system, according to the vision of the market economy of modern Western society, is the network of interdependencies and interconnections between operators or economic subjects that carry out the activities of production, consumption, exchange, work, savings and investment to satisfy individual needs. and make maximum profit, optimizing the use of resources, avoiding waste and increasing individual productivity while also reducing labor costs. Different types of economic systems can be identified, based on the presence of all, or only some, of the operators indicated above, of the greater importance of some than others, of different ways of carrying out their functions, of different rules for the execution of operations. These aspects are influenced by political and social institutions, available technologies, cultural and ideological aspects.