Distinguish between Micro Economics and Macro Economics. - Biz Stack

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Sunday, November 19, 2017

Distinguish between Micro Economics and Macro Economics.

   

Micro Economics: Micro economics is the study of individuals, households and firms' behavior in decision making and allocation of resources.
Macro Economics: Macro Economics is the branch of economics that studies the behavior and performance of an economy as a whole.


Subject
Microeconomics
Macroeconomic
Nature
It deals with small or individual
Economic issues or problem.
It deals with large or overall economic issues or problem.
Founder
Founder of microeconomics is Adam Smith.
Founder of macroeconomics is J. M. Keynes.
Meaning
Micro means small.
Macro means large.
Strategies

It has no strategies to maintain.
It maintains two strategies such as Fiscal policy and Monetary policy.
Demand and Supply

It discusses individual market demand and supply.
It discusses aggregate demand and supply.
Equilibrium system

It follows Partial equilibrium analysis.
It follows General equilibrium analysis.

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