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

35131 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

Discuss the impact of an increase in income tax on labour markets.


Explain what is meant by the term "perfect competition"


In a perfectly competitive labour market, explain how equilibrium wages are determined by the forces of supply and demand.


The demand curve can be graphed using the expression Q = 100 - P and the supply curve can be graphed using the expression Q = 40 + 2P. Find the equilibrium price and quantity in this market.


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