Macro Economics:

Macroeconomics focuses on the overall behavior and performance of an entire economy. Macroeconomics is the branch of economics that examines the behavior of economic aggregates income, output, employment, and so on on a national scale. The scope of macroeconomics includes aggregate output, prices, production, income and employment. What happens in an economy is the result of a large number of (thousands of millions) of individual decisions, hence macroeconomics considers the larger picture, or how all of these decisions add up together. The scope of macroeconomics is vast and highly relevant as it deals with aggregates.

The topics under macroeconomics include aggregate demand, aggregate supply, business cycles, national income, aggregate consumption, Investment, government spending, aggregate expenditures, fiscal policy, income and expenditures equilibrium, money and banking, monetary policy, the Federal Reserve System, foreign exchange market intervention, demand for money and money supply, functions of money, Keynesian economics, monetary economics, new classical economics, economic growth, GDP, components of GDP, determinants of growth, productivity, inflation, Phillips curve, unemployment, recession, the multiplier, the inflation-unemployment tradeoff, taxes and their effect on aggregate consumption and investment, savings and aggregate production.

Macroeconomics stands in direct contrast to microeconomics, because while macroeconomics basis its focus on the movement and trends in the economy as a whole, while microeconomics on the other hand concentrates on factors that affect the decisions made by firms and individuals. It can be noted that the factors that are studied by macro and micro will often influence each other, such as the current level of unemployment in the economy as a whole which will affect the supply of workers which a firm can hire from. Macroeconomics is highly relevant in the globalised economy of today where a country's aggregate performance, which is influenced by economic factors such as money, inflation, production and employment, determines its growth and position in today's global economy.