Asked by Jonathan Philley on Jul 27, 2024
Verified
Microeconomics is the study of how households and firms make decisions and how they interact in specific markets.
Microeconomics
The branch of economics that studies the behavior of individuals and small impacting organizations in making decisions on the allocation of limited resources.
Households
An economic unit of one or more persons living together who make joint decisions on consumption and savings.
- Identify the distinctions between microeconomics and macroeconomics.
Verified Answer
DM
Debasmita MajumdarAug 02, 2024
Final Answer :
True
Explanation :
Microeconomics focuses on the actions of individuals and industries, like the dynamics between buyers and sellers, borrowers and lenders. It studies various aspects of economic behavior, detailing the ways in which individuals (or companies) reach decisions about what to sell, what to buy, how much to work, and how much to save.
Learning Objectives
- Identify the distinctions between microeconomics and macroeconomics.
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