Why Do We Use ‘Percentages’ in Economics?

Imagine you have a bag of 10 candies. If I give you 2 more, that’s like getting 20% more candy! Percentages help us understand how much something has changed in relation to the whole, just like counting how many extra candies you got out of all your candies.

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Examples

  1. If you had 4 cookies and ate 1, that’s 25% gone!
  2. A toy that costs $10 now goes up to $12, that’s a 20% increase.
  3. Your savings went from $100 to $150, that’s a 50% gain.

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