microtheory
Microtheory is a term used across disciplines to denote theoretical approaches that examine phenomena at the smallest units of analysis, such as individuals, firms, or localized interactions, rather than at the level of broad structural patterns. It emphasizes the mechanisms, motivations, and decision processes that generate observable outcomes and seeks to explain how complex systems emerge from the behavior of their parts. Microtheories are often contrasted with macrotheories and are sometimes described as the microfoundations of macro-level patterns.
In economics, microtheory covers models of consumer choice, firm optimization, and strategic interaction, including game theory
Methodologically, microtheories rely on formal models, controlled experiments, field studies, and detailed longitudinal data to trace
Critiques of microtheory warn that an exclusive focus on micro-level mechanisms can overlook structural constraints, institutions,