Macro-micro economics Flashcards
What is Macro-economics?
Deals with the economic problem from society’s perspective. Macroeconomics covers the performance of an entire economy.
What is Micro-economics?
Microeconomics defines and deals with the economic problem from an individual’s perspective. It is the study of how consumer and producers make decisions and their relationship in the market.
What does micro-economics aim to study?
Microeconomics studies the market and the variable price of goods and services. It also attempts to understand the competing industries in the economy and its resource allocation.
What are the two main parts of Macro-economics?
The two main parts of macroeconomics are economic growth and business cycles.
What does economic growth link to
Economic growth links to a country’s standard of living and GDP.
What is standard of living?
The standard of living describes the overall satisfaction and wellbeing of citizens in a country.
What are the two other measures of Economic growth besides standard of living and GDP?
The other measures of and economy’s success is the inflation rate and unemployment rate
Opportunity Cost
The next best alternative that was not chosen.
