Microeconomics vs. Macroeconomics

Microeconomicsnoun

The field of economics that deals with small-scale economic activities such as those of an individual or company.

Microeconomicsnoun

the branch of economics that studies the economy of consumers or households or individual firms

Microeconomics

Microeconomics is a branch of economics that studies the behavior of individuals and firms in making decisions regarding the allocation of scarce resources and the interactions among these individuals and firms.One goal of microeconomics is to analyze the market mechanisms that establish relative prices among goods and services and allocate limited resources among alternative uses. Microeconomics shows conditions under which free markets lead to desirable allocations.

Macroeconomicsnoun

The study of the entire economy in terms of the total amount of goods and services produced, total income earned, the level of employment of productive resources, and the general behavior of prices.

Macroeconomicsnoun

the branch of economics that studies the overall working of a national economy

Macroeconomics

Macroeconomics (from the Greek prefix makro- meaning + economics) is a branch of economics dealing with the performance, structure, behavior, and decision-making of an economy as a whole. For example, using interest rates, taxes, and government spending to regulate an economy’s growth and stability.