An economy is the system a society uses for the production, distribution, and consumption of goods and services. The outcomes observed within an economy are the result of decisions and actions taken by its key participants: individuals (or households), firms, and governments. The study of economics analyzes the activities, institutions, and interactions among these actors from various perspectives, including microeconomics, macroeconomics, and international economics. The state of the economy is a crucial factor in modern society, influencing everything from individual prosperity to global political stability.