What is the difference between Microeconomics and Macroeconomics?

The difference between Micro and Macroeconomics is simple to understand and the hint is in the name!

Microeconomics is the study of economics on a 'small' level: at an individual, firm and market level. This could involve examination of demand and supply models of a certain product or behaviours of individuals and firms and their effect on each other and the wider economy.

Macroeconomics on the other hand is the study of economics on a 'larger',wider level: issues that affect the economy of a nation as a whole. This could involve the study of for example inflation, unemployment and exports/imports.

XM
Answered by Xiaoli M. Economics tutor

35126 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

To what extent can government policies be used to increase economic growth without increasing the rate of inflation


Discuss the extent to which economic development in the resource-rich economies of sub-Saharan Africa is likely to be promoted by international trade


Explain what is meant by the term ‘negative externality’ and explain how excessive consumption of alcohol leads to negative externalities.


Evaluate the use of barriers to entry in order for firms to make economic profit.


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning