What are the advantages of using mathematics in Modern Economics?
Many of the advantages of using mathematics are as follows:
a. The “language” used and the explanations of assumptions are clearer, more exact, and more precise,
b. The logical process of analysis is more rigorous and obviously sets the boundaries and limits of a statement,
c. This can provide a new result which may not be easily acquired by observation alone, and
d. This can decrease needless debates and enhance or extend existing results.
This should be remarked that, though mathematics is of critical significance in modern economics, but economics is not mathematics. Economics utilizes mathematics like a tool in order to model and analyze different economic problems. Econometrics and Statistics are used to test or analyze and measure the accuracy of our predication, and specify causalities between economic variables.