Question

Micro macro static dynamic normative positive economics

Answer 1

 prefix 'Micro" of microeconomics has been derived from the greek word "Mikros" which means small. Microeconomics studies the economics activities and behaviour of small individual units of the economy. It means microeconomics can be defined as the study and analysis of the behaviour of individual economic units. For example: Microeconomic studies about the behaviour of an individual consumer, one producer, a firm, a household, one industry and so on. It means microeconomics makes the microscopic study of small individual units. In particular, microeconomics focuses on patterns of supply and demand and the determination of price and output in individual markets (e.g. coffee industry).

According to K.E. Boulding, "Microeconomics is the study of a particular firm, household, individual price, wages, income, individual industry and particular commodity".