Distinguish between microeconomics and m | Class 12 Micro Economics Chapter Introduction to Micro Economics, Introduction to Micro Economics NCERT Solutions

Question:

Distinguish between microeconomics and macroeconomics.

Answer:

Point of Difference Microeconomics Macroeconomics
Study Matters It studies about individual economic units like households, firms, consumers, etc. It studies about an economy as a whole.
Deals with It deals with how consumers or producers make their decisions depending on their given budget and other variables. It deals with how different economic sectors such as households, industries, government and foreign sectors make their decisions.
Method The major microeconomic variables are price, individual consumer’s demand, wages, rent, profit, revenues, etc. The major macroeconomic variables are aggregate price, aggregate demand, aggregate supply, inflation, unemployment, etc.
Variables The major microeconomic variables are price, individual consumer’s demand, wages, rent, profit, revenues, etc. The major macroeconomic variables are aggregate price, aggregate demand, aggregate supply, inflation, unemployment, etc.
Theories

Various theories studied are:

  • Theory of Consumer’s Behaviour and Demand
  • Theory of Producers Behaviour and Supply
  • Theory of Price Determination under Different Market Conditions.

Various theories studied are:

  • Theory of National Income
  • Theory of Money
  • Theory of General Price Level
  • Theory of Employment
  • Theory of International Trade


Study Tips for Answering NCERT Questions:

NCERT questions are designed to test your understanding of the concepts and theories discussed in the chapter. Here are some tips to help you answer NCERT questions effectively:

  • Read the question carefully and focus on the core concept being asked.
  • Reference examples and data from the chapter when answering questions about Introduction to Micro Economics.
  • Review previous year question papers to get an idea of how such questions may be framed in exams.
  • Practice answering questions within the time limit to improve your speed and accuracy.
  • Discuss your answers with your teachers or peers to get feedback and improve your understanding.

Comments

Comment(s) on this Question

Welcome to the NCERT Solutions for Class 12 Micro Economics - Chapter . This page offers a step-by-step solution to the specific question from Excercise 1 , Question 8: Distinguish between microeconomics and macroeconomics.....