Scope of microeconomics

Microeconomics studies the decisions of individuals and firms to allocate resources of production, exchange, and consumption. Microeconomics deals with prices and production in single markets and the interaction between different markets but leaves the study of economy-wide aggregates to macroeconomics.

What are the six scope of microeconomics?

The microeconomics section of the Joint Council's Framework deals with six topics: markets and prices, supply and demand, competition and market structure, income distribution, market failures, and the role of government.

How many scopes are there in microeconomics?

Scope of 'Micro Economics' includes mainly three theories. 1 Theory of product pricing 2 Theory of factor pricing 3 Theory of Economic Welfare 1 In Theory of Product Princing price determination of consumption goods is studied which includes both demand as well as supply sides.

What are the scopes of macroeconomics?

The scope of macroeconomics is really wide as it has a multi-dimensional approach to various aspects of the economy. It covers a vast range of subject matters like inflation ɪmp; deflation, income ɪmp; employment, growth and development of the nation, public finance, general price level, and much more.

What are the four scope of economics?

The four steps of economics are description, analysis, explanation, and prediction. Economics involves microeconomics and macroeconomics. Microeconomics studies the economy in terms of an individual or a company. On the other hand, macroeconomics studies economies in terms of the country as a whole.