The branch of economics which studies how households and firms make choices,interact in markets,and how government attempts to influence their choices is called
A)macroeconomics.
B)microeconomics.
C)positive economics.
D)normative economics.

Question

Quizplus · Accepted Answer

Microeconomics deals with the individual behavior of households and firms, market interactions, and government's influence on their choices. Macroeconomics, on the other hand, deals with the entire economy's performance and measures such as inflation, GDP growth, and unemployment. Positive economics deals with the objective analysis of economic phenomena, and normative economics deals with value judgment and opinions on economic issues.

The Branch of Economics Which Studies How Households and Firms