Microeconomics or slicing method

Microeconomics is a branch of economics that deals with study of individual unit's behavior and actions exclusively. Since Microeconomics splits everything into small parts for convenience, therefore is referred as slicing method. Under microeconomics we study about the following:-

• we study about the income earned by one person
• we study about family income
• we study about the expenditure incurred by a customer, firm or family
• we study about the wages given one firm to its worker
• we study about the profits earned by a firm
• we study about the profits of a firm

For example, a shopkeeper wants to include a new product in his shop. For including a new product he needs to consider the nature of the market, the need and demand of the product. He also needs to take care of the monetary parameters. If he has enough savings for the new product or he requires a loan. He also needs to take care of the space available in his shop for the new product.

Microeconomics deals with such type of affairs of small scale or on individual aspects.