Economics is defined as the study of how individuals and society choose to use scarce resources. The words Microeconomics and Macroeconomics sound almost the same, but if you ever wondered what the difference between these two words is – continue reading.. ADVERTISEMENTS: 3. Object of Study. Key Differences Between Macroeconomics vs Microeconomics. ADVERTISEMENTS: Main differences between Microeconomics and Macroeconomics are as under: Microeconomics: 1. This guide will breakdown both micro and macroeconomics and will discuss their interdependency, as well as their effects on decision-making. The main difference between Micro Economics and Macro Economics is that Microeconomics is the study of the behaviour of individuals, households and firms whereas Macro Economics is the study of the economy as a whole. It is the study of individual economic units of an economy. The main difference between microeconomics and macroeconomics is scale. The distinction between macro and micro economics is the most usual classification of economic analysis. To understand its difference, first, we have to know the meaning of both terms: Both these branches of economics are interrelated, but their approach is different towards the economy. Microeconomics is the study of the actions of individuals, markets, firms, etc., and macroeconomics is the study of the economy as a whole. Adam Smith, Founding Father of Economics: Adam Smith’s book, Wealth of Nations, was the basis of both microeconomic and macroeconomic study. It deals with Individual Income, Individual prices, Individual output, etc. 11/19/2019 Difference between microeconomics and macroeconomics | Economics Help 2/8 International trade and globalisation Reasons for di±erences in living standards and economic growth between countries. 2. Macroeconomics is the branch of economics that looks at economy in a broad sense and deals with factors affecting the national, regional, or global economy as a whole.Microeconomics looks at the economy on a smaller scale and deals with specific entities like businesses, households and individuals.. It should be noted that microeconomics also deals with some “aggregates” but not of the type with which macroeconomics is concerned. Macroeconomics should be carefully distinguished from microeconomics. Microeconomics is concerned with issues such as the … 4. Government borrowing Moving from Micro to Macro If we look at a simple supply and demand diagram for motor cars. An essential point in the study of microeconomics and macroeconomics is that the former lays focus on specific market segments of the economy.In contrast, the latter concentrates on several market segments and puts a focus on the economy as a whole. In essence, economics is a study on how individuals make choices. 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