Microeconomics is the study of economics from a more individual point of view (consumers and their spending habits and firms in how they make profits) and how the economy affects people in their daily lives. Macroeconomics is economics from a ‘big picture’ perspective, such as how our country’s economy affects the world as a whole, etc.
Macroeconomics deals with large-scale economic decisions. It focuses on countries or continents and large regions, and it generally has applications for government policymakers. In contrast, microeconomics focuses on small-scale economic decisions, between individuals and firms. It examines how businesses can be the most successful and why individuals make the economic decisions that they do.
