Microeconomics & Macroeconomics
#economics #microeconomics #macroeconomics
Some Of The Differences Between Micro- & Macroeconomics
Microeconomics is the study of individual markets & sections of the economy, rather than the economy as a whole. * It examines the different choices individuals, households & firms.
*It examines what factors influence their choices.
*It examines how their decisions affect the price, demand & supply of goods/services in a market.
* It examines how Governments influence consumption & production.
Macroeconomics is the study of economic behaviour & decision making in the entire economy, rather than just an individual market. * It examines the role of the government in achieving economic growth & human development through the implementation of specific government policies (fiscal, monetary & supply-side). * It examines the role of the government in achieving price stability, low unemployment & a stable Current Account balance on the Balance of Payments account. * It examines the interaction of the economy with the rest of the world through international trade.
Decision Makers in Micro & Macro
Decision Makers & Their Choices In Microeconomics
Decision Makers & Their Choices In Macroeconomics
Microeconomics is the field of economics that looks at the economic behaviors of individuals, households, and companies. Macroeconomics takes a wider view and looks at the economies on a much larger scale—regional, national, continental, or even global.
Role of Government in Economy
Governments are meant to guide and direct the pace of economic activity in the country. It also needs to ensure stable growth, high employment, and price stability. Additionally, governments need to adjust tax rates and spending so that economic growth can either accelerate or slow down.
Unemployment Rate in India decreased to 7.80 percent in September from 8.50 percent in August of 2024. Unemployment Rate in India averaged 8.17 percent from 2018 until 2024, reaching an all time high of 23.50 percent in April of 2020 and a record low of 6.40 percent in September of 2022.
The macroeconomic decision-makers/players are Reserve Bank of India, Securities, and Exchange Board of India and other similar institutions.
Microeconomics deals with various issues like demand, supply, factor pricing, product pricing, economic welfare, production, consumption, and more. Macroeconomics deals with various issues like national income, distribution, employment, general price level, money, and more. It is applied to internal issues.