Question

Which of the following statements best describes microeconomics?


study of the interactions between various countries and their producers and consumers





study of markets, resources, and productivity



study of a nation's economy and economic well-being



study of how producers and consumers interact in various markets

Answer 1

Answer

Study of how producers and consumers interact in various markets

Explanation

Microeconomics is the study of dealing with individual units of producers and consumers. It is more focused towards studying the individual behavior reflected by these units of the society rather than establishing holistic premises. Microeconomics moves on to determine the various methodologies under which producers and consumers can interact in different market structures such as that of perfect competition and monopoly.