what is social economics 
social economics is a social science and a branch of economics that focuses on the relationship between social behavior and economics social economics is also referred to as socioeconomics social economics is primarily concerned with the interplay between social processes and economic activity within a society social economics may attempt to explain how a particular social group or socioeconomic class behaves within a society including their actions as consumers understanding social economicstheories of social economics sometimes diverge from conventional economic theories they may consider factors that are outside the focus of mainstream economics including the effect of the environment and ecology on consumption and wealth social economists frequently study the different economic choices by people in different socioeconomic classes a socioeconomic class is a group of people with similar characteristics these characteristics can include social and economic standing level of education current profession and ethnic background or heritage 1different socioeconomic classes may have different priorities regarding how they direct their funds or they may be unable to afford certain goods or services due to their income limitations these goods or services can include access to more advanced or complete medical care educational opportunities and the ability to buy food that meets specific nutritional guidelines two perspectives of social economicsthere are two broad perspectives in social economics though opposite in their approach they can be thought of as complementary the first pioneered by nobelist gary becker applies the basic theoretical and applied tools of neoclassical microeconomics to areas of human behavior that are not traditionally considered part of the economic sciences such as crime and punishment drug abuse marriage and family decisions 2the second perspective applies the ideas of other social sciences such as sociology psychology and identity group studies to subjects of an economic nature like consumer behavior or labor markets these practitioners of social economics use history current events politics and other social sciences to predict social trends that could potentially impact the economy this strand of social economics is the primary focus of this article in addition to income socioeconomic status is also related to factors like education family structure occupation and membership of certain ethnic minority groups impact of social economicsaccording to the american psychological association socioeconomic factors may reveal inequalities surrounding wealth education or status these background factors may play a role in a person s life decisions such as their career or family choices some of these socioeconomic relationships are explained below there are strong correlations between socioeconomic status and family structure as well as other outcomes such as parenting practices and childhood development single parent households are more likely to be low income and low income households are more likely to suffer from domestic violence and child neglect these disparities also manifest in worse health outcomes later in life 3children with lower socioeconomic status tend to enter school with lower levels of reading and linguistic development as well as lower social skills in later years these deficiencies may manifest themselves in lower levels of academic success and ultimately in lower incomes when they reach adulthood 4there are strong correlations between socioeconomic status and membership in indigenous or other ethnic minorities particularly those that have historically suffered from discrimination membership of some ethnic minority groups may correlate to higher levels of unemployment or substance abuse as well as poorer mental and physical health 5although interpersonal violence can occur at any socioeconomic level people from lower socioeconomic backgrounds tend to have greater exposure to violence especially in their formative years exposure to violence can negatively affect a person s academic and employment outcomes and domestic violence is also a major cause of homelessness 6example of social economicsan individual s socioeconomic status can significantly impact their educational attainment and financial security an individual from an affluent social class will likely have a greater opportunity to achieve higher education and may be expected to pursue such a goal while those from low income families generally do not have the same opportunities available to them for example low income families may not be able to pay for their children s participation in team sports music lessons or private tutoring which can propel them toward achieving a prosperous future as well as provide them with growing confidence to take on more challenges also these children may attend overcrowded schools where education is underfunded or understaffed completing higher education is more likely to increase their income potential as well as provide opportunities to interact with people of similar or more advanced social standing and build beneficial social networks in contrast higher education may not be attainable for an individual existing at or below the poverty level many studies have revealed that young children from families existing at or below the poverty level develop academic skills slower than children from affluent social classes a lower socioeconomic status is also related to poor cognitive development language memory socioemotional processing and consequently poor income and health in adulthood 4