Will waiting to make investments make a significant difference?

Simply stated, the sooner that you put your money to work, the greater the benefits will be over time. In fact, when you make your investment can actually have a far greater impact on your retirement than the amount of money you invest.

Here’s an example. Suppose you started investing $100 a month in a variety of stocks when you were 25. Assuming you averaged 8% annual return on your money, you would have about $18,500 after 10 years. If you decided to stop investing and just let that sit, you would still have accumulated over $200,000 by age 65! Now, suppose you wait until you are 45 and started to invest $250 a month. Given the same annual rate of return, you would invest $60,000 and end up with only about $148,000 by age 65. Continue reading

Business Economics

Business Economics

Defining ‘Business Economics’

Business economics is best described as the field of applied economics that is primarily devoted to studying the organizational, financial,  market-related and environmental challenges that corporations face. Business decisions are made by effectively utilizing economic theory and quantitative methodology. Subjects such as business organization, management, expansion, and market strategy are all analyzed in Business economics. Studies might include how and why a company would expand, the impact of entrepreneurs, the interactions among individual corporations and the effect of governmental regulation.

‘Business Economics’ Broken Down

Economics refers to the study of the components and functions of a particular marketplace or economy, such as the impact of the concept of scarcity, and supply and demand. Other important subjects of study within an economy are production factors, distribution methods, and consumption. Continue reading