What is the basic difference between macroeconomics and microeconomics?
A) Microeconomics is concerned with the trees (individual markets), while macroeconomics is concerned with the forest (aggregate markets).
B) Macroeconomics is concerned with positive economics, while microeconomics is concerned with normative economics.
C) Macroeconomics is concerned with policy decisions, while microeconomics applies only to theory.
D) Microeconomics looks at the forest (aggregate markets), while macroeconomics is concerned with the trees (individual markets).

Question

Quizplus · Accepted Answer

The basic difference between macroeconomics and microeconomics is that microeconomics is concerned with individual markets and how individual agents make decisions. On the other hand, macroeconomics looks at the overall economy and how different markets interact. In other words, microeconomics is concerned with the trees, and macroeconomics is concerned with the forest.

What Is the Basic Difference Between Macroeconomics and Microeconomics