Microeconomics is the branch of economics that focuses on the
A) entire economy.
B) production side of the economy.
C) consumption side of the economy.
D) involvement of the government in the entire economy.
E) choices and decision making of individuals and firms.

Question

Quizplus · Accepted Answer

Microeconomics is concerned with the behavior of individuals and firms in making decisions and choices regarding the allocation of scarce resources. It focuses on the analysis of market mechanisms and the determination of prices and outputs in individual markets. Therefore, the correct choice is E, which emphasizes the decision-making of individuals and firms.

Microeconomics Is the Branch of Economics That Focuses on the