Reviewed by Aug 27, 2020| Updated on
Social economics is a branch of economics that focuses on the social behaviour of the economic relationship. It explores how social norms, ethics, common movements evolving, and other social philosophies affect consumer behaviour and form patterns in purchasing from the general public.
This economics uses history, current events, politics, and other social sciences to forecast potential outcomes of cultural or economic changes.
Theories of social economics vary from traditional economic beliefs. Current schools of thought also presume the self-interested actors and make rational decisions. Social-economic theories also find issues outside the scope of mainstream economics, including the environmental and ecological impact on consumption and property.
Understanding Social Economics
Social economics, also called socioeconomics, is concerned with the social and economic factors within society. Such factors influence how a particular group or socioeconomic class, including their behaviour as customers, acts within the society. Various socioeconomic groups may have different priorities concerning how they channel their funds.
Those goods or services, based on their perceived ability to afford them and their wages, may be deemed inaccessible to specific classes. Such goods or services may include access to more advanced or full medical care, opportunities for education, and the ability to buy food that follows strict nutritional guidelines.
Socioeconomics in India
After the liberal economic reforms of the 1990s, India is now one of the world's fastest-growing economies. Economic growth in the country was powered by the services sector, which grew steadily in 2017 and accounted for 49% of GDP. After major changes to improve its business environment, India is now listed on the Ease of Doing Business Index by the World Bank in the top 100 nations.
The number of Corporate Social Responsibility (CSR) initiatives raised impressively by 25% in 2017-2018 compared to 2016-2017. Eventually, the resounding success of the Educate Girls Development Impact Bond (DIB) launched in September 2018 paved the way for a scaled-up version, the Quality Education India DIB.