Economics as a science : Science is a systematic and complete study of knowledge which explains the relationship of cause and effect. Science performs substantial analysis of an incident, studies it systematically and on the basis of this analysis and study it forecasts and makes prediction regarding any fact. In the same way, economics uses scientific method to understand the causes and consequences of economic events and to build economic principles and rules.
It is observed in the context of the behaviour of individuals or groups, that is, the scientific method is used in economics. By generating standard rules, economics also has the capability to interpret economic events accurate ‘and appropriate’, and since economics has the ability to explain, it also has the ability to forecast economic events. Apart from this, economics performs an ordered study of wealth-related activities, examines the capability, and establishes the relationship between the factor and the result. Thus economics is science.
Economics as an art : In the general sense, achieving an objective using skill is art. Art provides us with practical knowledge. It not only makes a proper analysis of the problem, but also provides the solutions. Only an economist can take the final decision on the problems that are purely of economic nature. The purpose of economics is to maximize the welfare of a person society. The policies and the attain adopted by the economist or the government to and actions a definite goal, is said to be an art.
The practical use of economic rules and principles makes economics an art. Presently the importance of practical economics is increasing, and economists often spend most of their time in solving problems related to real problems of life such as price rise, unemployment, economic development, inflation, etc. Therefore, it is appropriate to consider economics as an art. If economics is studied in the form of art, then it will facilitate the action of examining economic principles and it will also be possible to find if a principle is correct or not.
Economics as an art and science both : It is clear from the above discussion that economics is an art as a well as a science. Economics as science is not only a positive science but also normative science. Economics studies the theoretical and practical aspects of the subject, the theoretical side is related to its scientific nature, whereas practical economics is related to art. Thus theoretical economics a science while practical economics is an art. An economist can also have two forms like a scientist – as a scientist and as a good citizen. Like all citizens, an economist also has the right to participate, debate and act as a technical advisor in all issues of national importance.
