Microeconomics - it's part of economic theory, which has its own subject and methods of research.What is studying microeconomics?The answer to this question is given below.Microeconomics examines the strategies of individual economic entities in different economic conditions.Individual economic entity independently carries out economic functions - it is a fundamental principle of the economic system,
main subjects of microeconomics - it is the buyer and the manufacturer.The buyer - a person who is a consumer product that is available for enterprise-level.The company is a manufacturer and seller of commodities.
subject of the study are microeconomic strategies of economic actors, that is, more and microeconomics studies the process of developing, making and implementing decisions on the selection and use of resources to obtain greater profits.
economic resources for the most part, limited, while the needs of society and the needs of micro entities are virtually limitless.Because of limited resources, to the economic entity is a problem compromises that have to go microeconomic entities with limited resources in order to meet the largest possible number of consumers.
Economic subjects operating in the market, which can be defined as a set of entities operating with each other in order to exchange goods or services.Signals that determine the behavior of the subjects of microeconomics is to change the prices, which lead to an increase or decrease of consumption or production of a product or service;This results in a supply and demand on the market.Microeconomics studies the major market model with a distinctive type of behavior of economic agents.There are two groups of markets: the markets of perfect competition and imperfect competition markets.
first group of markets - is a structure having a relatively low concentration of buyers and sellers, which is regulated only by market forces (demand, supply, price) without any intervention by the state or non-state institutions.
second group of markets includes pure monopoly, oligopoly, monopolistic competition.Microeconomics examines these groups.
In economic practice, pure monopoly and perfect competition as the ideal market structure is not very common, and often there are oligopoly and monopolistic competition, belonging to the real market structures.
methods of microeconomics
In microeconomics has its own methods of research.These methods are a set of general and specific methods and techniques of research.
Common methods include observation, selection of facts, statistical analysis.Any study begins with observation and selection of facts.It is important to pick up the key facts that show the process under study.For ordering information, used statistical analysis allows to show the dynamics and trends of the studied process.The special methods of microeconomics include microeconomic modeling - a simplified representation of the studied micro characterizing the properties, essential aspects of the structure, which is being investigated.The economic model - a schematic representation of economic processes and phenomena, objects.By way of expression is divided into verbal model (based on a verbal description), math (based on formulas), graphics and computer.
