Microeconomics and Macroeconomics Concepts

Microeconomics and
Macroeconomics
Concepts

Table of Contents
A: OVERVIEW OF CASE STUDY................................................................................................3
B: MICROECONOMIC CONCEPTS.............................................................................................3
B: MACROECONOMIC CONCEPTS...........................................................................................5
REFERENCES................................................................................................................................9

A: OVERVIEW OF CASE STUDY
Well-being is very crucial term for citizen’s stability and growth of economy. In terms of
Sierra Leone that is a depressed state due to which people cannot enjoy decent living. In Sierra
Leone, health professionals are not getting paid properly due to which they cannot manage
services effectively. To facilitate the health services delivery to the people who are good of
taxpayers for protecting the body as valuable human capital. In this HSS play essential role in
delivery the health services such as medical care, dentistry etc. to protect the wellbeing of
citizens. This case study undertakes the impact of micro economics and macroeconomics that is
to be presented in terms of linking with Sierra Leone.
B: MICROECONOMIC CONCEPTS
Microeconomics refers to the decisions of an organisation and an individual to allocate the
resources for production, consumption and exchange. It mainly deals with production of products
and prices of offerings within single market along with integration with several markets on micro
levels (Thampapillai and Ruth, 2019). In case of Sierra Leone failure in systematic healthcare
was one of the major issue that is demonstrating within case study that is reflected by using the
several concepts of micro economic. Several concepts of Microeconomics are presented below:
 Market failure and imperfection- Market failure is a part of economic situation that
defines the inefficient distribution of goods and services within the marketplace. Within
the typical free market the price of goods and services identified by the forces of supply
and demands. In terms of Sierra Leone, the main cause of market failure is dysfunction in
price system and in this health professionals are poorly paid that would affect their decent
living. There are several factors of market failure that are demonstrated below:
o Externality- It refers to cost or benefits in terms of welfare of one party resulting
from activity of another party, without any compensation for losing party. This
reflects the consumption and production of offerings if third party faces issues due
to this activity that is known as negative externality whereas third party gain from
this activity is known as positive externality (Greenlaw, Shapiro and Taylor,
2018). In terms of Sierra Leone, health professional are paid less due to this they
cannot manages the service properly that will affects public health.