3 answers
3
Asked 1213 views

What is the difference between Microeconomics and Macroeconomics? In addition, what is the difficulty of each one?

I'm a freshmen in college. I'm interested in a second major, which is economics, but I have a basic understanding of each one, and I would like to know from others perspective and knowledge of the material. #professor #economics

professor economics
Answer This

+25 Karma if successful
From: You
To: Friend
Subject: Career question for you
3

3 answers

0
Updated
Share a link to this answer
Share a link to this answer

Jan-Michael’s Answer

Nolan's answer is great. I would add that with complicated systems, which economics is an excellent example of, small things (micro, individual) has significant effects on the holistic (macro) side of things.

Ask any economic professor why markets do not behave predictably or actually moves toward "efficiency". Variances in individual (micro) behaviors throw macroeconomic models based on "rational" individual motives for a loop.

Your personal well being is dependent on the macroeconomic conditions that surround and vice versa.
0
0
Updated
Share a link to this answer
Share a link to this answer

Alex’s Answer

In its simplest form, the terms are self defining - Macroeconomics is the study of economics are a large scale for industries, countries, regions, etc. Microeconomics is the study of economics on a much smaller scale - a consumer/producer (not a country as in Macro). This focuses on decision making and individual forecasting.
0
0
Updated
Share a link to this answer
Share a link to this answer

Nolan’s Answer

Microeconomics study the behavior of an entity (person, company, etc) in their rational decision making process. You'll learn, for example, supply demand chart. Supply increases as price is set higher. However demand decreases. In a perfectly competitive market where no single entity can influence price, there exists an equilibrium point (with a corresponding price and quantity) where supply meets demand.


Macroeconomics study the decision making of an economy as a whole (city, state nation, etc). For example, how interest rate can affect inflation and unemployment rate.


The difficulty of each one would vary from one student to another, also depending on the instructor, so I can't provide any info on this.
Though in my opinion, and personal experience, micro is boring, but a necessary class to take to understand the more interesting macro.
Thank you comment icon Thank you so much. This is very useful information I can use for the time I decide which one I should study. Thank you once again. DION
0