1. Micro Economic Analysis
Microeconomic Analysis consists of price theory, production theory, and the theory of distribution. It can be described as follows:
a. Price theory, among others, discuss the process of price formation by the interaction between supply and demand for goods and services in a market, the factors that affect changes in demand and supply, the relationship between the demand and supply, market forms and so on.
b. Theory of production, including the cost of analyzing the problem of production, the level of production of the most profitable producers, as well as a combination of factors of production to be selected by the manufacturer in order to achieve maximum profit goal is reached.
c. Distribution theory discusses the factors that determine the level of labor costs, the interest rate to be paid for the use of capital, and the level of benefits employers.
2. Macroeconomic Analysis
The opposite of microeconomics, macroeconomics analyzes the state of the overall economic activity. Macroeconomic not discuss the activities undertaken by a producer, a consumer or an owner of production factors, but on the whole the actions of consumers, businesses, governments, financial institutions, and other countries and how these actions influence actions on the economy as a whole .