MICRO & MACRO ECONOMY
Economy is the study about how individual business wishes and government make choice on allocating resources to satisfy their need this group determine how the resource are organised and co-ordinate to achieve maximum output.
they are mostly concerned with the production distribution and consumption of goods and services.
Economic is divided into two important section which are macroeconomics and microeconomics.
Macroeconomics deal with the behaviour of the aggregate economy and microeconomics focus on individual consumers and businesses.
What Is Microeconomics
Microeconomics is the study of decision made by people and business is regarding the allocation of resources and prices of goods and services the government decide the regulation of taxes microeconomics focuses on the supply that determine the price level of the economy.
It use the bottom of strategy to analysis the economic in other word, microeconomics tries, to understand humans choice and allocation of resources it does not decide what are the changes taking place in the market in steed explain why there are change happening in the market.
The key road of microeconomics is to examine how a company could maximize its products and capacity so, that it could lower the price and compete in its industry a lot of microeconomics information can be obtained from the financial statement.
The key factor of economics as follows:-
Demand supply and equilibrium, production theory,
cost of production,
labour economics.
Example:- individual demand and price of of product
What Is Macroeconomics
Macroeconomics is a branch of economics that is it a substantial picture it scrutinises itself with the economy at a massive scale, and several issue of an economy considered. The issue conferred by an economy and the headway that it make a measured and apprehended as apart and parcel of macroeconomics.
Macroeconomics study the association between various countries regarding how the policies of one nation have an upshort on the other. It circumscribes with in its scope analysis the success and failure of the government strategies.
In macro economics we normally survey the association of the nation total manufacturers and the degree of employment with certain features like cost price of interest, wages, rates of interest, profits, etc, by consent trending on a single imaginary good and what happened to it.
The important concept covered under the macroeconomics or as follow,
Capitalised nation
Investment expenditure
Revenue,
Employment
Production of a country.
Example :- Aggregate demand and national income.
