An Economist is referred to as an expert in Economics. Economics which simply mean efficient allocation of scarce resources so as to meet insatiable wants of individuals. Economic resources are believed to characterized by scarcity and price. An Economist studies way in which these scarce resources are being maximized at minimum cost to meet or satisfy needs of individuals in the society.
Every government complain of inadequate resources, meanwhile this is not suppose to be an excuse for inefficient and ineffective governance. The government is expected to have a foresight of this as there is never enough resources to meet the ends of individuals in the society. Here comes the need for an Economist. An Economist as an expert
in the aspect of allocating these scarce means know the key concepts to make use of, such as scale of preference, opportunity cost and choice. With proper and adequate knowledge of these concepts, he would be able to maximize these inadequate resources.
2. Less Dependent:
An Economist would never be a canoe being paddled by stakeholders. As an Economist, he understands the structure of the economy, its working and barrier to its growth. Therefore, economic plans are easy to formulate to meet desirable aims or objectives. Past government of this great nation have suffered this, to propose and implement any policy, the knowledge of other stakeholders are being sought for. These stakeholders are being driven by their selfish political ambitions and goals, as such policies being proposed are implemented to their favor. An Economist as a professional in operation of the economy, any idea or policy being proposed by these stakeholders he would need to consider the cost and benefit to the citizens of the nation. This is because, an Economist which is also a social scientist would always have at his mind that to carry out any action, costs and benefits of such action are to be considered.
3. Optimizing Agent:
He understands the principle of optimization. An Economist is an optimizing agent, optimization which involves maximizing outputs or profit at minimum cost possible. It does not make any sense if the cost of obtaining or producing an output exceed the benefit from it. This should basically be adopted especially in the cost of governance and cost budgeted for projects in the nation. The nation's cost of governance is rated one of the worst governed countries in Africa based on the 2014 Ibrahim Index of African Governance [IIAG] while the GDP per capita of the nation is ranked 120
{according to World bank 2014}. An Economy with high cost of governance and poor performance. As an Economist, he would streamline system and cost of governance such that excess funds that are being diverted to cost of governance would be use for other beneficial projects.
4. Knowledge of Game Theory:
Game theory is an idea which involves how players {which could be nations or private sector in this case} strategize to maximize their payoff. In Game theory, every decision or strategy s associated with pay off which serve as benefits attached to the move or course of action. With knowledge of this principle, an Economist is able to differentiate between the positive and negative influence of foreign or private partnership. No economy can be independent of foreign intervention or relationship most especially if the economy is a developing one.
With this knowledge, an Economist is able to strategize or strike agreement with foreign nations such that his nation would be maximizing her pay off.
5. Rational Decision and Evaluation of Various Sectors:
An Economist with the knowledge of efficient allocation of scarce resources will ensure rationality in every decision he makes. Proper evaluation and accountability will be ensured in every sector. Economics is a very versatile field of knowledge, as such an Economist has virtually knowledge of all sectors. By this, there is effective evaluation of the performance of each sector in the economy.
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