Which term refers to the study of how individuals and firms manage resources?

The term that refers to the study of how individuals and firms manage resources is microeconomics. This branch of economics focuses on the behaviors and decisions of individual agents, such as consumers and companies, as they allocate limited resources to maximize utility and profit. Microeconomics analyzes how these decisions affect supply and demand in specific markets, how prices are determined, and how resources are distributed among various sectors of the economy.

In contrast, macroeconomics examines the economy as a whole, including aggregate measures such as national income, GDP, inflation, and unemployment. Economics, as a broader field, encompasses both microeconomics and macroeconomics but does not specifically target the individual or firm level of analysis. Global economics is concerned with international trade and finance and does not focus primarily on individual behaviors. Therefore, microeconomics is indeed the correct choice for studying resource management at the individual and firm levels.