Economics is management of produce and consumption/ earning and spending. Market is the foundation that decides how supply and demand of produce is? What to sell/buy? How to sell/buy? When to sell/buy? Why to sell/buy? Buy/sell or not, play role to shape micro economics. When this is used in broad level such as national income, total saving, investment, consumption expenditure, export/import and balance of payment, employment status, and money supply is macro economics. So Individual behavior towards their economical practice is individual (Micro) economy and national behavior is national economy (Macro).

Basics for economics

Needs: We differentiate in two categories

1.Essential needs: of human are food, electricity, shelter, clothes, water but modern time has enhanced needs to more commodities like communication facility, other electronic items and transportation, services to promote products etc;.  2.Comfort and luxury needs: all items to live in comfort, when people have extra money to uplift the standard of living.

Management of Economy by individuals is based on what they earn and how they spend. There is difference in consumer behavior by standard: Poor, Middle income group, Rich. Management of each category is different. Similarly, we see different behaviors of population of developing and developed countries. In developing countries poverty is because of lack of resources but in developing countries people have high cost of living to maintain the standard, such as insurances from life to car, taxes from income to expenditure, house hold electric goods to textiles. The management is how to squeeze or live with what is earned, so the balance of payment and receipt are equal. Management fails when the expenditure inflates and liabilities rise. Many are poor because the cost of living is very high and most of them are unavoidable expenses, on the other hand nearly 60% of the world lives in poverty as they  have less or no resources of earnings that affects the buying power, individual and national economy relates to each other. Similar situation is with the industries when costs of living of individuals are imposed on employers for minimum wage standard results extra cost of production passed to consumers that blows up inflation. But in competitive world passing cost is not possible so they go for measures to survive by managing to cut cost in other areas or wind up. Better the management to cut cost higher the chances of survival and withstanding competition. So to know what is required and what is the right place, time to sell products, how to cut cost to be competitive is management of economy for industries. Total earning power, spending power, savings power, employment level and etc; of population is national economy.

International Economy: Emergence of dependence has linked countries together.  What one country has no sourcing is supplied by others, this togetherness and international dependence has given birth to International economy. In other words international economy is international trade and agreements.  When there is trade activity there is agreement and dispute also. WTO is place where all the governments gather to negotiate the issues. Basic objective of WTO is settlement of trade disputes and become helping hand to least developed countries of export import promotion. In most cases developing countries loose stand in debates and negotiations. World economy is under control of a few developed countries their management is so strong that they have retained all in their grip and what they want, when they want and how they want is done automatically as they have strong materialistic approach. Their strength is so great that even International bodies are unable to move wings without the signal. They together have monopoly power over other countries. Most countries are indebtness due to monopoly approach they are liable to export cutting own necessities of food grains (as have no other resources) or tons of raw materials against one war tank that too conditions applied. Survival of many developed countries is with sale of war heads so they are love when developing countries have neighbor boarder clash.  Since the constitution of WTO many developing countries have gone poorer and poorer and overburdened by indebtness and inflationary economy. Advanced products from Auto machines of developed world have almost invaded all developing countries resulted closures of small unorganized sectors heavily that only grew poverty level and unemployment rate.

WTO should not only be a table for debate, should also analyze the situations and process to be adopted so that developing world gets relief from unmanageable debts. If International community really wants least developed or developing countries to come up.

• Patent regime by a few multinational companies of developed countries need to be restricted. So the monopoly is in controlled form.
• Control over price fixation by multinationals so on necessities imports developing world are not burdened.
• Encourage labour oriented produces by provision of incentives to importers. And certain disadvantages to fully auto products that can be produce semi auto or human.  Will ultimately help generating world employment. Free trade will become only partial and most least and developing will not be able to reap much against cheaper auto machine products and better know how.
• Communication and other necessary advanced products for help of country’s economic growth should have the right to obtain technical advice and right of production of spare parts by self.
• Subsidized technical help to least developed and developing countries so that they have fullest use recourses to export at least in semi or finished (instead of raw material) against heavy imports.
• Protectionism method by developed countries to their small scale industries and agricultures to be discouraged.
• Human sources (services) to other countries should also come under trade free or minimum restricted.  This is flourishing segment that is property of developing countries.
• WTO should be more transparent machinery than the present position. Most issues brought favours the developed countries, the WTO system would become even more imbalanced and inequitable.
• Survival of WTO is possible only when developing countries feel they get justice for trade practices/ disputes and agreements. Free or liberal market can alone not help developing countries we must also see how they can be in more advantageous. Quota abolition is waste until there is demand for their products of least developed and developing countries.

Stock market: A measuring tape of national economy is a market where shares are bought and sold.  first introduced during Greek civilization as investment of gamble on explorers; after reaching gave share of profit to investors but lost when explorers did not come back from sea, then was evolved by Romans as investment on constructions. Became pure gamble in United States before world war many lost and many gained. Mainly brokers were at large to gain between the deals for their gain by manipulating the situation to their favor, bear is an investor who acts on the belief that a security or the market is falling or is expected to fall. Bulls are optimistic mass investors and generally act on behalf of large industries and financial institutions when they come to action the market moves forward. But overvaluation by them sometimes can lead to dangerous situation. After many ups and downs US Government introduced legislation to regularize the stock market. Now all companies have to furnish their performance report that facilitated small investors as choice and security of their investment.  

This is an institution raises capital for companies for expansion through brokers who fixes the value on demand and supply of shares. In accordance with company’s performance/ reliability and return more and more people invest that shows companies are doing good and people income is rising that allows them to invest. Apart from as market place it is indicator of the economic growth. But one point I wish to explain where major percentage of population lives in rural villages and unable to invest as they can not afford we can not say stock market is real measuring tape of economic growth. It is tragedy that investments are not made on rural agricultural research/ development and exploration of forest values and its uses. This area really needs an investment to upgrade standard of living of rural population.  This happens in some countries the stock market moving in height but poverty is still intact, this happens when a limited population is rich and become richer due to vast variation of income and resources distribution. However, healthy functions of stock market are good sign as more and more money is raised to invest further in productive areas but should not be artificial growth.