鈿� Quick summary
The word macro describes something that is very large or something that is related to things that are large in size or scope. Macro- is used as a combining form meaning 鈥渓arge鈥� or 鈥済reat.鈥� The word micro describes something that is very small or something related to things that are small in size or scope. Micro- is used as a combining form meaning 鈥渟mall鈥� or 鈥渓ocalized.鈥�听
People often wonder about the difference between macro and micro and their combining forms, macro- and micro-. In particular, it is often unclear how they are used in the context of economics.听
In this article, we鈥檒l put our money where our mouth is and break down the difference between macro- and micro- while explaining how they are used to mean different things in the words macroeconomics and microeconomics.听听
macro vs. micro
As a word, macro describes something that is very large in size, scale, or scope, as in When Rachita looked at the water contamination problem from a macro level, she saw how it affected many nearby towns.听
Be careful not to confuse this sense of macro with its tech sense. In computing, a macro is 鈥渁 set of keystrokes or mouse clicks created to perform a specific task or set of tasks.鈥澨�
On the other end of the scale, the word micro describes something that is very small in scope or ability, as in James鈥檚 laptop is so old that it doesn鈥檛 have a micro SD slot.听
We get the words macro and micro from their combining forms macro- and micro-, which are used as prefixes. The prefix macro- is used to mean 鈥渓arge,鈥� 鈥渓ong,鈥� or 鈥渆xcessive鈥� in words like macromolecule (鈥渁 very large molecule鈥�).听
The prefix micro- is used to mean 鈥渟mall鈥� or 鈥渟mall in scope鈥� in words like microscope (鈥渁 device used to look at small things鈥�) or micromanage (鈥渢o control even the smallest details鈥�).
Often, macro- and micro- are used in pairs of words that refer to comparatively large and small things. For example, the word macrocosm means 鈥渢he universe as a whole,鈥� while the word microcosm means 鈥渁 little world or a world in miniature.鈥� And a macrofossil is a fossil that is large enough to be seen with the naked eye, while a microfossil is a tiny fossil that you need to magnify to see.
Typically, the exact difference in macro鈥檚 bigness and micro鈥檚 smallness depends on the context they are being used in. Among the most common鈥攁nd potentially most confusing鈥攐f these contexts is economics.
macroeconomics vs.听microeconomics
Macroeconomics and microeconomics are two branches in the field of economics.听
Macroeconomics involves the study of economies as a whole. It鈥檚 concerned with the economics of entire countries or the entire world. Concepts such as gross domestic product (GDP), national interest rates, and foreign exchange rates are part of macroeconomics. The macro- in macroeconomics refers to the fact that this branch is concerned with economics on a large scale.听
Microeconomics involves the study of economics of individuals. It鈥檚 concerned with the business and financial decisions of a single business or an individual person, such as your monthly spending budget. The micro- in microeconomics refers to the fact that this branch is concerned with economics on a small scale.
