Matter : English

PRIVATE LESSONS SEYDI JAMIL

WHAT IS THE IMPACT OF MICROECONOMIC

PLAN
Introduction
Exhibitors :
Group 2
I /Microeconomics
Maimouna Mbow
II /Macroeconomics
Dié Niang
III /The relationships between the two
approaches to economic analysis Amina Diaw
Conclusion Mor Makha Fall
Ousmane Konaté
Sokhna Mai Mbacké Mbaye
Pape Birame Dramé

School Year : 2023/2024 Teacher : Mr.Dieng

INTRODUCTION
Microeconomics is the study of the individual behavior of economic agents. We thus
study how a consumer, a business manager, a retiree behaves, for example whether the
individual behaves logically or sheepishly. So we will look at the influence of
advertising, political training, etc.
We thought it was interesting to aggregate the different sectors of the population and
then draw conclusions which allow the authorities to make decisions to improve the
local economic situation (e.g. state of the road network) nationally (setting of retirement
age) or global (decisions concerning Climate following the various “ COPs ”. The
global study of aggregates, (Consumption, Production, Employment) . This study forms
Macroeconomics.
Thus the Markets can be analyzed in two ways, as investors and/or business leaders
(microeconomics) or their overall behavior in the face of the economic situation
(macroeconomics), for example: graphical analysis.
The only problem is that there is no homogeneity between the behavior of individuals
and their masses. This brings to mind the problem of “individuals” and “crowds”. As an
example, we can cite the case of Cambodian intellectuals, often trained in French
universities, who followed Pol Pot in his atrocious behavior. To fully understand this
dichotomy, we must delve deeper into the two notions and try to understand their
relationship.
I /Microeconomics
It is the analysis of individual cases. The media have specialized in revealing painful
situations for financial, medical reasons, etc. , leaving it to its readers and/or listeners to
generalize the often dramatic situations that are exposed.
The behavior of companies (private and public) is in the same way in microeconomics.
To try to move companies into the macro system, we seek to impose a similar legal
structure on all companies: Accounting. In this area, the evolution has been very strong,
moving from a microeconomic analysis mode (The General Accounting Plan) to an
international system (IFRS ) which should facilitate international macroeconomic
analysis. The General Accounting Plan was intended to meet the needs of creditors in a
country where investment financing is largely done through debt, by informing them of
the risk they run. The type of accounting depended on the nature of the business
(financial, industrial companies).
Accounting has gone from a rigid and fairly simple Accounting Plan which had evolved
little since Napoleon, to an “evolutionary” system ( IFRS). This wants to be “Global”
that is to say cover all “generalizable situations”. This Accounting is based on the idea
of defining the value of a company. Moreover, we add to this already very heavy
analysis a declarative system of “ extra-accounting standards ” to monitor companies in
the context of the “climate struggle” by moving Accounting from the defense of
“shareholders” to that of “stakeholders”. » (people interested in the company's results :
shareholders , employees, customers). This reform tends to return to an
individualization of accounting while the aim of IFRS was on the contrary to
standardize analyzes by making them if possible compatible with the American
accounting system “GAAP”.
Overall we see that economists encourage the unification of information to be able to
benefit from the aggregation of this data which alone allows decision-making. Also it is
necessary to analyze the macroeconomics.
II /Macroeconomics
It is the set of aggregates bringing together individual analyses. Macroeconomics is
presented in the form of tables. Example: all individuals with a given level of income
(where the 0.1% of billionaires and the 12% of poor people stand out). It is also
presented in the form of graphs or curves. That of “GINI” shows that significant
redistribution makes France one of the least “asocial” countries in the world.
We created quantities of indices (prices, scholarships, types of families, etc.). Moreover,
we can choose presentations that give a politically useful image. Thus, after the war, the
Communist Party created its own price index using data collected by INSEE, but taking
as a price "basket" that of a poor worker living in the suburbs and essentially purchasing
food products which were experiencing high inflation at the time. It was of course a
question of demanding salary increases. Unfortunately the end of food stamps and a
certain economic slowdown led to a collapse in agricultural prices and the communist
index was forgotten.
We thus see that the connections between micro and macro economics are not good.
Let's take the misfortunes of environmentalists as an example.
III /The relationships between the two approaches to economic analysis
Let us call “M” what relates to macroeconomics and “m” what depends on
microeconomics.
1) Energy is useful and in particular atomic energy because other forms of carbon-free
energy will be insufficient (M); but in the name of ecology, no one wants an Atomic
Power Plant near their home. (Memory of Chernobyl) (m)
2) Wind turbines on land and especially at sea are a partial solution to the energy
problem (M) but many environmental farmers complain about the noise and the
carcinogenic danger of these devices while sailors fear that they will scare the fish (m).
3) Photovoltaic cells are an excellent solution (M) but environmental farmers are
opposed to them. We see that the two approaches are opposed in the name of the
reduction of arable land (m).
We must also take into account the fact that alternative energies are also intermittent
(Active at 25%) and that to balance the circulation of energy in electrical networks it is
necessary to resort to carbon production emitted by gas-fired fuel power plants. or coal.
Also, despite injunctions from Brussels, we continue to burn coal and even peat
(Germany and Poland) and in the USA to reopen shale oil deposits.
CONCLUSION
We thus see that the two approaches to the Economy are not perfectly reconcilable. The
“micro” approach is intended to be rigidly ordered regardless of the accounting method,
despite major blunders ( Mad off who kept accounts that were all the more precise
because they were imaginary or Sam Bank man Fried , whose well-kept accounts did
not prevent him from using the funds managed for his personal use). This notion of
Order makes it possible to give microeconomics a politically right-wing appearance.
The Macro actually has two particularities that differentiate it from the Micro:
a) A calculation error in a balance sheet can be catastrophic. Bad statistical judgment
only allows your competitors to smile.
b) The Micro sometimes allows you to obtain astonishing results. One day Alfred Sauvy
asked young INED executives why between two censuses the number of homes built in
Paris before the war of 14 had increased 1 . This imprecise side of statistical analyzes
(which depends on the choice of data) is favored by Left policies. This explains why in
high schools we develop the macroeconomic approach in economics classes and that we
neglect the other approach.
Overall, we should favor microeconomics while trying to avoid “blunders” and develop
macroeconomics by analyzing very closely the data on which we are going to reason.