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What is Microeconomics?

Definition of Microeconomics

Microeconomics is an analytical study of the economic behaviours of individual economic units (for example, a person, a household, a firm, or an industry); rather than the aggregate economy (which would be associated with macroeconomics). Microeconomics generally focuses on factors that affect the decisions made, regarding an individual economic choice, as well as the effect of changes in these factors on the actual decision makers and (perhaps, most significantly) the process, by which, price and demand are determined in individual markets.
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