What is Economic Environment of Business? Macroeconomics & (some) International Economics = An analysis of the backdrop of economic conditions against which firms and consumers make decisions * Different scale that Microeconomics= To understand the background in which businesses operate = Short run behavior of economies/countries = Long run behavior * Policy framework --- Government and others ® International Economics: exchange rate and linkagesCore: Growth and Lalor la(e)a = Study of aggregate performance of the economy = Study of growth and fluctuations of broad national aggregates like ~- National Income or GDP - Components of national income like private consumption, investment, government expenditures, etc. - Unemployment - Price (including wage rates, interest rates, exchange rates) ~ InequalityCore: Policies