Economics Fundamentals

Economics is a social science that studies the production, distribution, and consumption of goods and services. Its main focus is on the behavior and interactions of economic agents and how economies work.

Some examples of individual agents in economics are households, firms, buyers, and sellers.

Microeconomics analyzes individual agents and markets, their interactions, and the outcomes. Macroeconomics analyzes the economy as a system where production, consumption, saving, and investment interact.

<p>Positive economics describes &quot;what is&quot; in the economy, while normative economics advocates &quot;what ought to be&quot;.</p> Signup and view all the answers

<p>Macroeconomics analyzes factors such as employment, inflation, economic growth, and public policies.</p> Signup and view all the answers