Macroeconomics is the study of
A)the behavior of large firms in the marketplace
B)the economic behavior of individual decision makers
C)the behavior of the economy as a whole
D)how to use the fewest natural resources to produce goods and services
E)government's role as a stabilizing influence on the economy

Question

Quizplus · Accepted Answer

Macroeconomics is concerned with the behavior of the economy as a whole, including topics such as inflation, unemployment, economic growth, and government policies that affect the economy as a whole. A) is incorrect because macroeconomics is not focused on individual firms, but rather on the larger economy. B) is incorrect because microeconomics is the study of individual decision makers. D) is incorrect because macroeconomics is not focused solely on resource use, but rather on broader economic issues. E) is partially correct, as government policies are a part of macroeconomics, but it does not fully encompass the study.

Macroeconomics Is the Study of