Notes On Microeconomics

520 Words2 Pages
bulb-icon

Recommended: Advantages and disadvantages of macro and microeconomics

Ans1) The field of economics is classified into two distinct areas of study:
a)Microeconomics b)Macroeconomics
Microeconomics:
• Microeconomics is the study of individuals, households and firms' behavior in decision making and allocation of resources. It generally applies to markets of goods and services and deals with individual issues.

• Microeconomic study deals with what choices people make, what factors influence their choices and how their decisions affect the good markets by affecting the price, the supply and demand.

• The uses of microeconomics are:

1) Microeconomics is important to understand the working of free market economy. It tells us as to how the prices of the products and the factors of production are determined
2) Helps in knowing the conditions of efficiency. Micro economics helps in explaining the conditions of efficiency in consumption, production and in distribution of the rewards of factors of production.
3) Microeconomics reveals how a free enterprise economy functions without any central control.

• Examples:
1) A salesman would be included i...

Show More
Related

  • Avocado Microeconomics

    890 Words  | 2 Pages

    quantity supplied. In turn, the law of demand states as market price of a good or service increases/decreases ceteris paribus, the quantity demanded will increase/decrease accordingly. The Australian avocado industry is an indicative example of microeconomics - the study of individual consumer or business decision making and spending behaviour in relation to the allocation of a limited resource and the correlation of supply and demand in determining

    Read More

  • Compare And Contrast Classical And Classical Economics

    1635 Words  | 4 Pages

    allocation of resources for purposes of satisfying their wants and needs (Kagel and Roth 30). It also tries to establish how the different groups organize and coordinate their efforts for purposes of realization of maximum output. It is important to note that analyses in economics The two individuals were renowned economists of their time and their played a significant role in the shaping the modern economics. Alfred Marshall is renowned as the founder of neoclassical economics while Adam smith is

    Read More

  • Personal Income Tax In Canada

    534 Words  | 2 Pages

    tax revenue as a percentage of GDP in Canada. It shows that a significant proportion of Canadian GDP is composed of PIT. Tax has become a large portion of Canadian family’s expense, which has become a burden to some families. In fact, Lammam (2016) notes that taxes account for 42.4% of an average Canadian family’s income, more than the 37.6% spend on food, clothing, and housing combined. In 2016, the Canadian federal government introduced a new income-tax bracket that reduced middle-class income

    Read More

  • Price Elasticity And The Price Elasticity Of Demand

    1291 Words  | 3 Pages

    1. What is the price elasticity of demand? How is the price elasticity of demand calculated? The price elasticity of demand as I understand it is how much demand for an item will change with a given change in the price of an item. To be more precise it is the percent change in demand per unit of time divided by the percent change in price. (Khan, "Price elasticity of demand") While most examples I could find of price elasticity of demand were linear, I do not think they would truly be that way

    Read More

  • The Pros And Cons Of A Laissez-Faire Economy

    1051 Words  | 3 Pages

    In order to keep the economy from fluctuating too far from equilibrium, the federal government sets price floors on goods and services. This tool known as a price floor initializes a minimum wage at which laborers can sell their labor to employers. Typically, the minimum wage depends on rising or falling productivity. It also reflects the inflation rates and the average income needed to reach the standard of living. Standard of living is thought to be improved with a minimum salary; making the

    Read More

  • Importance Of Economics In Our Daily Life

    1503 Words  | 4 Pages

    everyday lives of individuals. For instance the overall needs and desires of individuals is covered by the innovation and finance. These are used as a means to effectively provide the needed products and services to the public. Hence it is important to note that economics has a direct impact on the overall lives of individuals and there is a need to understand these in order to be able to run businesses more successfully. The concepts of supply and demand is among the basics of all daily activities and

    Read More

  • Career Reflection Paper

    1809 Words  | 4 Pages

    Career research reflection paper Introduction As an Economics with Business student, I hope to pursue a career as a data analyst after completing my degree. Education has been playing an important role in my life since I started my journey in learning, I have always understood the significance of education. I believe it is one of the major factors for my future career development. However, a research published in 2010 by Higher Education Careers Service Unit (HECSU) reveals that to be more employable

    Read More

  • A Modern Division of Labor and Gender Norms

    1069 Words  | 3 Pages

    Modern feminists might gasp if I assert patriarchy once allowed efficient economic organization, but the tools of modern political economy unveil the mystery of why inegalitarian gender norms were once economically efficient. Evolving modes of production and material constraints necessitate an efficient division of labor guided by socialized gender norms that adapt to economic macroconditions. Gary Becker and Torben Iversen understand an economic division of labor differently given their different

    Read More

  • Economics Of Christmas In America Essay

    1073 Words  | 3 Pages

    NAME INSTITUTION DATE Introduction The economics of Christmas is important because Christmas is typically a peak selling season for retailers in many cities and states in the U.S. Sales usually increase dramatically as people purchase gifts, decorations and supplies to celebrate. In the U.S, the “festive shopping season” starts early as October. It has been calculated that a quarter of all personal spending takes place during the festive season in U.S. The decision to raise or reduced prices

    Read More

  • Stigin' It To The Man: George Stigler

    773 Words  | 2 Pages

    George Stigler (1911-1991) was a neoclassic economist and an important figure in the development of many of our currently used economic principles. Stigler taught at the University of Chicago, where he worked closely with Milton Freidman. George Stigler was said to be quite brilliant in his field and yet, he kept a confident wit about himself that was said to help his students enjoy and understand economics. (Sowell) Comparatively, Stigler was a sort of renascence man in the economic field, as he

    Read More

  • Case Study Of Microeconomics And Apple Inc

    908 Words  | 2 Pages

    Microeconomics and Apple Inc. Apple Inc is the producer of a variety of electronic products around the world. They are known for their Mac, iPod, iPhone, and iPad. They continue to use breaking edge technology to produce the finest state of the art products. Within my paper I plan to investigate the law of supply and demand and consumers elasticity. I also plan to identify various cost associated with running a company as large as Apple Incorporated including any events that have impacted the

    Read More

  • Persuasive Essay On Net Neutrality

    1109 Words  | 3 Pages

    On any given day in 2015, you would be hard-pressed to walk into a room at random in America without encountering a Smart Phone. There is hardly a library left that does not feature a quiet chorus of clicking keyboards from the laptops within. We are, in essence, permanently plugged in to the Great and Powerful Internet, and we rely on service providers (ISP’s) to provide us with this now-important resource. Lately, though, getting Internet is becoming less and less simple as folks debate the enforcement

    Read More

  • Environmental Economics: Market Failures

    931 Words  | 2 Pages

    these market imperfections and to protect the environment. Works Cited Tony Prato 1998, Natural resource and environmental economics, Iowa State University Press, Iowa Geoff Riley, Microeconomics – Externalities Overview, 2006. Available from: http://tutor2u.net/economics/revision-notes/a2-micro-externalities-overview.html National Oceanic and Atmospheric Administration 2011, Environmental Economics, Available from: http://www.csc.noaa.gov/coastal/economics/index.htm D.C.Macmillan

    Read More

  • Main Economic Features of Oligopolies and Price-fixing Theories

    2276 Words  | 5 Pages

    prices reductions will (B&W). Therefore, firms will tend not to raise prices because a small increase will lose customers... ... middle of paper ... ...n_law [Accessed on 21/11/2010]. Rittenberg, L. and Tregarthen, T. (2009). Principles of Microeconomics, 2nd edition. New York: Flat World Knowledge, Inc. Routledge, R.(2010). Bertrand competition with cost uncertainty. Economics Letters, no. 107, pp. 356–359. Sab-Miller Report. (2003). On-trade and off trade. Available at: http://www.sabmiller

    Read More

  • What Are The Challenges Of Entering College Life Essay

    1862 Words  | 4 Pages

    Adapting to United States’ College Life Everyone has their experience of entering a discourse community, such as attending high school, entering the company and joining organizations. Being a newcomer, we have to work hard so as to get accepted. In ENGL 1301, I have to write a composition on how I successfully joined a discourse community. Therefore, I am going to demonstrate my process of transiting to UTA and prove that I have successfully joined the UTA community in academic and social

    Read More

More about Notes On Microeconomics

Open Document