What does macroeconomic mean?

ASU economist explains the difference between microeconomics and macroeconomics and their implications on markets and economic policy.

In this story published March 11, 2025, on The Motley Fool:

Central banks influence macroeconomic conditions by changing the short-term nominal interest rate. Changes in the short-term rate then propagate to all other short- and long-term interest rates, including those on mortgages, consumer credit, and loans and lines of credit to firms. Lower interest rates make borrowing cheaper, thus incentivizing corporate investments and consumer purchases of durable goods such as cars, TVs, etc.

– Domenico Ferraro, associate professor of economics