Economy, asked by muskan2879, 11 months ago

difference Between microeconomics and macroeconomics.​

Answers

Answered by vilasini60
1

Explanation:

Macroeconomics: An Overview

Economics is divided into two different categories: microeconomics and macroeconomics. Microeconomics is the study of individuals and business decisions, while macroeconomics looks at the decisions of countries and governments.

While these two branches of economics appear to be different, they are actually interdependent and complement one another since there are many overlapping issues between the two fields.

Microeconomics

Microeconomics is the study of decisions made by people and businesses regarding the allocation of resources and prices of goods and services. It also takes into account taxes and regulations created by governments.

Microeconomics focuses on supply and demand and other forces that determine the price levels in the economy. It takes what is referred to as a bottom-up approach to analyzing the economy. In other words, microeconomics tries to understand human choices and resource allocation.

Having said that, microeconomics does not try to answer or explain what forces should take place in a market. Rather, it tries to explain what happens when there are changes in certain conditions.

Answered by KhanGirl
4

Microeconomics

Meaning The branch of economics that studies the behavior of an individual consumer, firm, family is known as Microeconomics.

Macroeconomics

The branch of economics that studies the behavior of the whole economy, (both national and international) is known as Macroeconomics

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