Handout 04: The Issues

The issues are: In microeconomics - How individuals take decisions to solve the economic problem, how firms decide how many products to produce at what price, given different assumptions about the market; and in macroeconomics - the issues of general price levels and GDP and economic growth are discussed as well as the role of the various interest groups such as governments, international trade the role of central banks and other agencies such as the legislature and regulatory bodies.