microeconomic.orgMicroeconomics | Information and Principles of Microeconomics

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microeconomic.org

Title:Microeconomics | Information and Principles of Microeconomics

Description:Microeconomics, from the Greek prefix micro meaning small, plus economics is the branch of economics that studies the behavior of how household and firms allocate limited resources.

Keywords:Microeconomics, micro economic, micro economy, economics, growth, inflation, unemployment, game theory, mathematical economics, Econometrics, Experimental, Statistics, National accounting

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microeconomic.org Keywords accounting

Keyword Count Percentage
Microeconomics 21 9.36%
micro economic 0 0.00%
micro economy 0 0.00%
economics 41 12.03%
growth 0 0.00%
inflation 0 0.00%
unemployment 0 0.00%
game theory 1 0.32%
mathematical economics 0 0.00%
Econometrics 0 0.00%
Experimental 0 0.00%
Statistics 0 0.00%
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Microeconomics | Information and Principles of Microeconomics Microeconomics Macroeconomics Microeconomics vs. Macroeconomics Principles Textbooks Microeconomics Everyone has probably heard of "the law of supply and demand" which is a famous concept in economics. Economics has two main branches of study, microeconomics and macroeconomics. Microeconomics, from the Greek prefix micro meaning small, plus economics is the branch of economics that studies the behavior of how households and firms allocate limited resources. A goal of microeconomics is to analyze market mechanisms that determine relative prices. Microeconomics describes the theoretical conditions for perfect competition and analyzes market failures, where markets fail to produce efficient results. Some important topics in microeconomics are general equilibrium, markets under asymmetric information, choice under uncertainty and economic applications of game theory, and elasticity of products within the market system. Examples of applied microeconomics are labor economics, industrial organization, health economics, financial economics, law and economics, and economic history. Economics is usually divided into two main studies, macroeconomics and microeconomics. Although the economic models of the two are different, an understanding of microeconomics is required to study macroeconomics. This is because some macroeconomic concepts are best explained by microeconomic phenomena. The main assumption of microeconomics is that markets are perfectly competitive; there are many buyers and sellers in the market and there is no single entity that can dictate prices of goods and services. The demand for various commodities by individuals is generally thought of as the outcome of a utility-maximizing process, the set of choices which emerges from this process is that one which makes the consumer happiest. In real life, the supply and demand model does not quite work because there are individual buyers and sellers that can dictate or affect prices. Explaining market failures is an important topic in microeconomics. Market failure is a concept in microeconomics wherein the allocation of goods and services in the market is efficient. The concept of market failure was first introduced by the philosopher Henry Sidgwick. Non-competitive markets, information asymmetries, principal-agent problems, externalities, or public goods are commonly associated to market failure. The existence of market failure is a common cause of public intervention. Applied microeconomics uses the basic concepts of price theory, supply and demand. Examples of applied microeconomics are labor economics which studies labor market dynamics, wages and employment; industrial organization which analyzes the entry and exit of firms in the market, innovation and the role of trademarks; health economics which studies the role of health care workforce and health insurance programs; financial economics which discusses rate of return of capital, optimal portfolios, and corporate financial behavior; law and economics which applies microeconomic principles to competing legal regimes and their relative efficiencies; and economic history which studies the evolution of the economy and economic institutions. Source: http://en.wikipedia.org/wiki/Microeconomics Microeconomics Macroeconomics Microeconomics vs. Macroeconomics Principles Textbooks ? Copyright 2016. Microeconomic.org

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