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Microeconomics theory and analysis is useful in understanding and predicting the behaviour of firms and industries. Discuss.
Microeconomics theories explain the way in which firms and industries operate and survive under conditions where resources are scarce. Therefore simply because of this we could say that microeconomic theories and analysis is useful in understanding the behaviour of firms and industries. Hence it could be said that the firms' behaviour will depend on the scarcity of these resources, as a lot of rational choices have to be made in the everyday running of the business, as the business cannot have everything that it desires. However, we must always take into consideration the fact that there i…
- An Analysis of the theories of Neoclassical and Political Economy and the practicality of each.
- Economic Thought and Development: Institutional Theories.
- Microeconomics theory and analysis is useful in understanding and predicting the behaviour of firms and industries. Discuss.
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