Chess Game on Steroids

Economics is like a huge chess game. The differences are there is way more than just two people, there are many different paths to navigate across the economy, and there is never a final check mate because the game keeps going on and on. There is never just one winner and if someone does win they don't stay on top for long.

Like chess, a player in the economy has to look in their markets past, the present, and the future. In order to play in the economy people need to look at the trends in their market, this will help them see patterns and might eventually help them see what might be coming. How well a market is doing now, in the present is always a big factor, but not as big as some people make it out to be. The really big factor is what is to come in the future, if it's not looking good in the future then what is the point in entering the market if you will most likely fail. This is where economics is like chess, the strategizing and looking not just at the next move, but the next few steps ahead and other players moves.

In studying economics you see many patterns that are not perfect but reoccur throughout history. A few examples are the supply and demand curves and what triggers them to change, the elasticity of a market, price ceilings and floors, taxes and subsidies, competition vs. monopolies, and interacting with other markets. If you have an idea of how these subjects act, then when the time comes for someone to make their next move there is a vague idea of what will occur in their situation (vague due to externalities) and which move they should consider.

Players in the economy have to see what is occurring now. Maybe there is a really good profit in one market, but what will similar players choose now? You have to see what the other players are planning to do now, to plan for the future. Seeing a players move now and using the strategies from studying history you can plan the best route for you to take to manage a profit.

Using the knowledge of history and what other players are most likely to do, you can plan the next set of moves out. In order to play this out well; experience, knowledge, luck, and risk are skills that need to be used. Otherwise most people just go off of what is happening in the here and now and end up losing everything.

Chess players need to look ahead and assess the present situation and base decisions off of previous experience just like economics players. A player must be able to keep their strategies secret, watch what others are doing, and use knowledge to plan their paths if they want to attempt to succeed. Good luck to all!