Difference Between Microeconomics And Macroeconomics
The major dissimilarities between microeconomics and macroeconomics can be highlighted as follows:
1. Introduction
Microeconomics: A branch of economics that studies the economic tendencies or behavior of individual, unit or a group.
Macroeconomics: Branch of economics that deals with the economic behavior at national and international level.
2. Concern With
Microeconomics: It is concerned with individual variables such as individual market, individual consumer, individual labor etc.
Macroeconomics: It is concerned with aggregate variables such as international trade, inflation, deflation, monetary policy etc.
3. What Is It ?
Microeconomics: It is a small part of economy
Macroeconomics: It refers to a whole economy
4. Tools
Microeconomics: Demand and supply
Macroeconomics: Aggregate demand and supply
5. Determinant
Microeconomics: Price
Macroeconomics: Income
6. Scope
Microeconomics: It has a limited scope because it deals with small element of economy
Macroeconomics: It has a wider scope because it deals with whole economy
7. Objective
Microeconomics: To make firm level policies and proper utilization of resources
Macroeconomics: To make national level policies and proper distribution of resources
Also Read:
Also Read:
8. Helpful In
Microeconomics: It is helpful in profit maximization and cost minimization of individual firm
Macroeconomics: It is helpful for economic growth, full employment, and proper balance of payment
9. Nature
Microeconomics: It is static in nature
Macroeconomics: It is variable in nature
Microeconomics Vs Macroeconomics (Comparison Chart)
I hope this post is helpful to understand the difference between microeconomics and macroeconomics and to make comparison between them.
Microeconomics Vs Macroeconomics (Comparison Chart)
Basis
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Microeconomics
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Introduction
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Study of economic behavior and tendencies of an individual or unit
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Study of economic behavior and tendencies at national and international level
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Concerned With
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Individual variables
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Aggregate variables
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Refers To
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Small portion of economy
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Whole economy
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Tools
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Demand and supply
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Aggregate demand and supply
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Determinant
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Price
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Income
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Scope
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Limited
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Wider
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Policy Making
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Firm level
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National level
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Helpful In
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Profit maximization
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Economic growth
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Nature
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Static
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Variable
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I hope this post is helpful to understand the difference between microeconomics and macroeconomics and to make comparison between them.
