Question

Microeconomics focuses on A. inflation and growth in our overall economy. B. decisions made by individual households and firms. C. all households and firms grouped together and how they interact with the government. D. aggregate economic variables like the rate of unemployment or national income.

Answer 1

Answer:

B. decisions made by individual households and firms.

Explanation:

Economics is the study of choice to satisfy unlimited wants from limited resources, having alternative uses.

'Micro' word gets origination from greek language, meaning 'small'

Micro Economics is the study of 'individual' economic participants - individual households' & individual firms' choice decisions

Eg : Price of a good, Utility maximising consumption of consumer, profit maximising output of a producer/ seller.