0.4. Answer the following:
1) Explain the features of Micro economics.
2) Explain the importance of Macro economics.
3) Explain the scope of Macro economics.
State with reasons whether you agree or
Answers
Explanation:
Features of Micro economics
Study of Individual Unit: - Micro economics is concerned with the study of economic behaviour of individual units like households, firms, industries and markets. In other words, it makes microscopic or in-depth study of individual economic units and no the whole economic units. 2.
The study of macroeconomics is very important for evaluating the overall performance of the economy in terms of national income. The national income data helps in anticipating the level of fiscal activity and understanding the distribution of income among different groups of people in the economy.
Macroeconomics is the study of aggregates and averages of the entire economy. ADVERTISEMENTS: Such aggregates are national income, total employment, aggregate savings and investment, aggregate demand, aggregate supply general price level, etc. ... Main tools of its analysis are aggregate demand and aggregate supply.