| | Points of Difference | Microeconomics | Macroeconomics |
| 1. | Origin | The word micro has been derived from a Greek word 'Mikros' which means small. | The word macro has been derived from a Greek word 'Makros' which means large. |
| 2. | Study matters | It studies about individual economic relations orissues like households, firms, consumers, etc. | It studies about an economy as a whole. |
| 3. | Objective | its main objective is to analyse the principles, problems and policies for the achievement of the goal of optimum allocation of resources. | it investigates principles, problems and policies related to achievement of full employment and expansion with productivecapacity. |
| 4. | Deals with | It deals with how consumers or producers make their decisionsdepending on their given budget and other variables. | It deals with how different economic sectors such as households, industries, government and foreign sector make their decisions. |
| 5. | Method | The major microeconomic variables are price, individualconsumer’ demand, wages, rent, profit, revenues, etc. | The major macroeconomic variables are aggregate price, aggregate demand, aggregate supply, inflation, unemployment, etc. |
| 6. | Variables | The major microeconomic variables are price, individualconsumer’ demand, wages, rent, profit, revenues, etc. | The major macroeconomic variables are aggregate price, aggregate demand, aggregate supply, inflation, unemployment, etc. |
| 7. | Theories | Various theories studied are: (1) Theory of Consumer’sBehaviour and Demand(2) Theory of Producer’sBehaviour and Supply(3) Theory of PriceDetermination under Different Market Conditions | Various theories studied are:(1) Theory of National Income(2) Theory of Money(3) Theory of General Price Level(4) Theory of Employment(5) Theory of International Trade |
| 8. | Popularise by | Alfred Marshal | J.M. Keynes |
