Distinguish between microeconomics and macroeconomics. Give an example of each. OR What will likely be the impact of large scale outflow of foregin capital of Production Possibilities curve of the economy and why ?

Distinguish between microeconomics and macroeconomics. Give an example

1.	Distinguish between microeconomics and macroeconomics. Give an example of each. OR What will likely be the impact of large scale outflow of foregin capital of Production Possibilities curve of the economy and why ?
Answer» Solution : OR LARGE scale OUTFLOW of foreign capital from the economy will reduce resources and thus production POTENTIAL of the country will fall. Fall in production potential in turn will shift the production possibilities CURVE DOWNWARDS.