What Are The Difference Between Macro Planning And Micro Planning?

Macro is big and micro is very small. Macro economics depends on big projects like steel mills, big industrial units, national highway projects etc. which aim at producing good and services at a very large quantity and serve a wide area. These take time to porduce results because of the size of the projects. Micro economics is on a small scale, limited to specific area or location and purpose and normally produce results in a much shorter time. The best example of micro economics is the Grameen Bank of Bangladesh started by Md. Yunus, who also got international awards for his initative.The concept of Micro credit was pioneered by the Bangladesh-based Grameen Bank, which broke away from the age old belief that low income amounted to low savings and low investment. It started what came to be a system which followed this sequence: low income, credit, investment, more income, more credit, more investment, more income. It is owned by the poor borrowers of the bank who are mostly women. Borrowers of Grameen Bank at present own 95 per cent of the total equity and the balance 5% by the Govt. Micro economics was also one of the policies of Mahatma Gandhi who wanted planning to start from local village level and spread thru the country; unfortunately this has not happened and even now the result of developments has not percolated to the common man, particularly in the rural areas.