We’re coming to the end of another school year. A year that’s been packed with maths, history, geography and science. A year brimful of after-school activities such as English, karate and piano. But haven’t we neglected one thing (as usual)? When will we study economics?
Below I open up the article to all audiences, because my question isn’t just for schoolchildren. Who studies economics? When do they do so? If we stop to think about it, a very small part of the population actively devotes any time to studying what it is, how it works and what impact everything related to economic sciences can have on real life.
By this I don’t mean that we all have to be experts, nor that everyone should be a first-rate investor conducting daily transactions, but I do mean that no one should be left behind without understanding the basic concepts that could enable them to improve their quality of life.
The above sentence may sound a bit strong, but the fact is that money can improve our lives or make them miserable, and it’s not just a matter of having it but also knowing how to use it. I’m thinking about who needs it, such as when we have to apply for a mortgage. How many of you would have liked to have studied concepts such as the interest rate, NIR, APR, fixed rate and variable rate before the key moment when you really needed a loan but had little time, and the person who explained them to you was the person who was going to lend you the money? I’m also thinking about people who have the capacity to save but, due to a lack of knowledge, their money is dormant, losing purchasing power due to inflation, and they miss out on the opportunity to make their money work for them. Finally, I’m thinking about people who have money and want to make a profit from it, who have more time to familiarise themselves with the concepts of the stock market, fixed income, currencies, investment funds, alternative products, simple interest, compound interest, dividends, coupons and so on, but find the first time scary (and if the first time is when you’re 50 years old, it’s scarier than when you’re 20). We should forget about the words we often hear, namely “I’ll invest when I have some money”, as you don’t need large amounts to start investing. Quite the opposite: to make money you have to invest.
I think it’s obvious that the economy is something that affects us all, because we all live in a society in which money is a common element, with some people using it for certain things and other people for others. But we should all know how to use it because, at the end of the day, it’s a means, not an end in itself. It’s also important for us to constantly bear this in mind, to demystify the concept of money. It’s useful and it helps us; we shouldn’t have to work for it but make it work for us;it’s no use in itself but we can spend it or invest it. Whatever we do with it, we should use it in the best possible way.
For the time being, whatever the situation you’re in, I’ve left you with a few concepts to review over the summer. Even though the economy never rests, summer is coming; looking ahead to the next school year, you should consider, however old you are, whether it would be worth devoting a few hours to improving your knowledge of economic matters. Of course, financial literacy shouldn’t be left solely to the education system. Families, the media, companies and institutions can also play a fundamental role. At Creand we firmly believe in the importance of contributing to the economic education of society. This is why we cooperate with schools, organise workshops and develop contents geared towards all audiences.
Because, all things considered, learning about economics isn’t just a matter of personal interest, it’s a tool that can bring freedom. If we understand how money works, we can make better decisions, prevent headaches and manage what we’ve achieved with our efforts much better. This applies to everyone, from the youngest to the oldest among us.
Diari d’Andorra 26.06.2025