Thursday, June 25, 2009

What is the relationship between Economics and Human Resource Management? How are these two subjects related to each other?

These are two very different academic subjects. Economics is a social science that describes the production, consumption, and exchange of goods within a society. It is by its nature a science, meaning that it seeks understanding of a subject. Although people with degrees in economics are hired for a range of well-paying jobs in both government and industry, the subject itself is an academic rather than vocational one. 


Human resource management is a vocational subject intended to prepare students to work as human resource managers in industry. Its remit is far more limited than that of economics, as it focuses on specific corporate jobs. People in HR departments are normally involved in hiring, firing, promotions, staffing decisions, and issues of regulatory compliance. 


There really is no direct relationship between the subjects. People studying Human Resource Management or other business courses normally need to take a few economics modules to understand some underlying principles of how economic factors affect businesses; economics students would have no need to study Human Resources Management. 

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