Business

An Introductory Guide to Microeconomics

Written by MasterClass

Last updated: Aug 19, 2021 • 4 min read

Economics is a social science that examines how people affect markets and industries. Sometimes pejoratively called “the dismal science,” it seeks to connect human behavior to the production, distribution, and consumption of society’s goods and services. Economics is divided into branches of study. The two broadest branches are macroeconomics—which directs its focus toward large-scale economies, such as those of an entire nation—and microeconomics—which focuses on smaller-scale economic trends and behaviors.