Macroeconomics and microeconomics are illustrated

Western economics is divided into macroeconomics and microeconomics

Macroeconomics is mainly considered from a macro, large-scale, and comprehensive perspective, for example, the economic policies generally adopted or issued by the state are from the perspective of macroeconomic regulation and control

Microeconomics is detailed to many economic principles, such as: the simplest change in the supply and demand curve is microeconomics, as well as the change of the curve of consumption and income, and the prisoner effect

Micro studies the consumption behavior of individuals and groups.

Macro study of the consumption behavior of the country and the world!

Macroeconomics takes the national economy as a whole and explains how resources can be fully utilized by studying the decisions and changes of the aggregates in the economy. For example, it has the ability to regulate the economy and correct the shortcomings of the market mechanism.

Microeconomics takes a single economic unit as the research object, and illustrates how the mechanism solves the problem of social resource allocation by studying the economic behavior of a single economic unit and the determination of the individual values of the corresponding economic variables. For example, the decision of a product** or the behavior of a single consumer or business, i.e. microeconomics is about individual factors in the economy.

What does it mean? Does it mean a definition? Then you can refer to this.

1. Differences: Microeconomics focuses on the study of the economic behavior of individuals in the market, the study of the market mechanism and its role, the decision of equilibrium, and the investigation of how the market mechanism can obtain the conditions and ways of optimal allocation of resources by regulating individual behavior; Macroeconomics is the study of the economic relations between aggregates in economic activities. So as to provide a theoretical basis for macroeconomic policy.

Their research objects, problems solved, research methods, and basic assumptions are all different, and the central theories and basic contents are of course also different.

2. Connection: They all focus on the study of general theoretical problems of economics and the economic policies formulated according to economic theories and the solutions to related problems. They presuppose and complement each other.

They are all studies of the behavior and consequences of participants in economic activities in a market economy; The demand curve is generally inclined to the lower right, and the supply curve is generally inclined to the upper right, with the same shape of the supply and demand curve, and its intersection points determine the output and output.

1. Microeconomics.

Definition: Microeconomics, also known as individual economics and small economics, is a branch of modern economics, which mainly takes a single economic unit (a single producer, a single consumer, and a single market economic activity) as a research object for analysis. Microeconomics is an economic theory that studies the economic behavior of individual economic units in a society, and how the individual values of the corresponding economic variables are determined.

Also known as market economics or ** theory.

Scope: Microeconomics covers a wide range of topics, including equilibrium theory, consumer behavior theory, producer behavior theory (including production theory, cost theory and market equilibrium theory), distribution theory, general equilibrium theory and welfare economics, market failure and microeconomic policy.

2. Three basic issues of economics.

What should society produce?

How should it be produced?

Who will consume what is produced?

These three issues are the foundation of every economic system and indeed of every society, whether it is a capitalist, socialist, or communist society, or a low-, middle-, or high-income society. It can be abbreviated as "whw", which means what, how, who.

3. ** and the market.

**It is determined by the market, not the producer.

The market is made up of all customers who have specific needs and desires, and are willing and able to meet their needs and desires through exchange. This is the explanation on Sogou Encyclopedia, to put it simply, the market is the customer, and the customer who wants to buy and sell things to meet a certain demand.

4. Exchange value and use value.

Diamonds have a high exchange value, and if you have a diamond to trade, then you can get a lot of money; But diamonds don't have a high use value, they can neither be eaten nor trimmed on your fence, and are basically boring luxuries.

On the contrary, water is one of the basic necessities of life, not to mention the non-basic uses of water, such as steam power. Water has a high use value, but it is very cheap. In most places, it's free**. Under normal circumstances, it has a relatively low exchange value.

In fact, these two concepts do not exist separately, the same thing can be converted into value through other media, for example, I have a diamond, but I don't have the money to eat the meal, so I sell the diamond for money, and then use the money.

Microeconomics is also known as (a.).Small) Economics.

Also known as individual economics and small economics, it is a branch of modern economics, which mainly analyzes a single economic unit (a single producer, a single consumer, and a single market economic activity) as the research object.

FYI.

Macroeconomics is based on the activities of the general process of the national economy as the research object, focusing on the investigation and explanation of how the national income, employment level, the level of economic aggregates are determined, how fluctuating, so it is also called aggregate analysis or aggregate economics.

Microeconomics (microeconomics), also known as individual economics and microeconomics, is the symmetry of macroeconomics. Microeconomics mainly takes a single economic unit (a single producer, a single consumer, and a single market economic activity) as the research object, and analyzes how a single producer allocates limited resources to the production of various commodities to achieve maximum profits; How a single consumer can allocate their limited income to the consumption of various goods for maximum satisfaction. At the same time, microeconomics also analyzes how the output, cost, number of production factors used, and profit of individual producers are determined; how the income of the factor of production is determined; The utility, supply, demand, and how to determine the utility of a single commodity, the quantity in demand, and so on.

Economics is essentially the same as Confucianism. It plays a different role in different eras. Therefore, in modern times, economics is to study the laws of economic operation, put forward reasonable fiscal policy, monetary policy and other policies to promote the development of the national economy, which is the macro aspect.

On the micro level, we will improve the operational efficiency at the micro level through the study of enterprises, residents, individuals, etc. The difference between the two is obvious. For example, the rise and fall of the exchange rate is related to the operation of the country's economy, that is, macro.

And the enterprise to improve the product and sales is micro. Therefore, macroeconomics and microeconomics are defined by the size of the research scope. In between, of course, there is mesoeconomics, which is actually industrial economics. Hehe.

You're sick, it's okay to ask!

The history of microeconomics can be traced back to Adam Smith's The Wealth of Nations and Alfred Marshall's Principles of Economics. After the 30s of the 20th century, Robinson and Chamberlain put forward the theory of enterprise equilibrium on the basis of Marshall's equilibrium theory. Its system mainly includes:

Equilibrium** Theory, Consumer Economics, Productivity Economics, Enterprise Equilibrium Theory, and Welfare Economics.

<>So far, the development of microeconomics has roughly gone through four stages. The first stage: from the middle of the 17th century to the middle of the 19th century, was the early stage of microeconomics, that is, the embryonic stage of microeconomics.

The second stage, from the end of the 19th century to the beginning of the 20th century, is the stage of neoclassical economics and also the stage of microeconomics. Stage 3:

The period from the 1930s to the 1960s was the completion phase of microeconomics. The fourth stage: from the 60s of the 20th century to the present, is the further development, expansion and evolution of microeconomics.

Looking at the development process of microeconomics and the theory as a whole, ?Analysis always revolves around the core question, so microeconomics is also called on many occasions"Theory and its application"。The history of microeconomics can be traced back to Adam Smith's The Wealth of Nations and Alfred Marshall's Principles of Economics.

After the 30s of the 20th century, Robinson and Chamberlain put forward the theory of enterprise equilibrium on the basis of Marshall's equilibrium theory. This marked the final establishment of the microeconomic system, including: equilibrium theory, consumption economics, productivity economics, enterprise equilibrium theory, and welfare economics.

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1. The basic assumptions of macroeconomics are different from the basic assumptions of different schools.

The two main schools of thought are the Neoclassical Synthesis School and the Neo-Keynesian School.

The basic assumptions of neoclassical theory:

1) Maximization of individual interests, that is, macroeconomics should have a micro basis.

2) Rational expectations, simply put, people can anticipate future economic changes without making systemic mistakes.

3) The market is cleared, that is, ** and wages can change rapidly. This assumption is the biggest reason for the difference in the conclusions of neoclassical theory and neo-Keynesian theory.

4) The natural rate hypothesis, which mainly refers to the natural rate of unemployment.

The main assumption of neo-Keynesianism differs only in the clearing of the market, which believes that the market does not make an offer, because wages and ** cannot change immediately, and the explanation of wages and ** stickiness has the theory of long-term contracts and the theory of menu cost.

That is, people sign long-term contracts, and wages do not change at any time with market demand during the contract period, which is unrealistic. The cost of the menu refers to the cost of changing the product, such as notifying the customer that the product has changed, reprinting the table, etc., so it will not change at any time with the demand for the product.

2. Basic assumptions of microeconomics.

The entire microeconomic argument is based on three basic assumptions, namely, perfect rationality, perfect competition, and complete information. All three of these assumptions are difficult to reconcile with the facts.

First of all, complete rationality is impossible. For the two major actors in microeconomics research: households and manufacturers, although they are consciously or unconsciously pursuing their own maximum utility and profits, in real economic life, their rationality is only limited.

It is difficult for households to maximize utility in their daily consumption activitiesIt is also impossible for manufacturers to always arrange production activities to maximize profits. Second, perfect competition is unrealistic. Western economics has strict limits on perfect competition, including the large number of buyers and sellers in the market;The goods offered by every manufacturer in the market are homogeneous;All resources are fully liquid;The information is complete.

The conditions are so harsh that many Western economists also admit frankly that in real economic life, there is no market that really meets these four conditions. Again, the complete information does not hold.

The complete information assumption occupies an important place in microeconomics. If the information is complete, then the market mechanism will be effective, and the resources can be optimally allocated. However, the information in real economic life is often incomplete and asymmetrical.

In this case, information economists predict that the role of the ** mechanism will lead to the end of "bad money driving out good money", and the market will be inefficient. It can be seen that the conclusions are completely different if the assumptions are different. However, the delicate theoretical edifice of Western economics is built on such fragile assumptions, and its scientific validity will naturally be seriously damaged.

The above is for reference.