Which of the following is a macroeconomic topic? i. China increases interest rates to slow its economic growth.
Ii) Parliament lowers tax rates to try to lower the unemployment rate.
Iii) Nissan decides to produce more electric Leaf models and fewer Altima sedans.
A) ii and iii
B) i and iii
C) iii only
D) i and ii
E) i only

Question

Quizplus · Accepted Answer

Macroeconomics deals with the economy as a whole or its basic subdivisions or aggregates, such as the government, household, and business sectors. Choices i and ii involve government policies affecting the entire economy, such as interest rates and tax rates, which are macroeconomic topics. Choice iii is a microeconomic topic, focusing on individual firms' production decisions.

Which of the Following Is a Macroeconomic Topic? I