Which of the following is a fundamental topic addressed by microeconomics?
A) whether to extend unemployment insurance
B) determining how many new iPhones the Apple company should produce
C) the level of inflation in the country
D) the impact of interest rates on savings in the economy

Question

Quizplus · Accepted Answer

Microeconomics focuses on individual economic agents and their decision-making behavior, such as firms and consumers. Therefore, determining how many new iPhones a company should produce is a fundamental topic in microeconomics as it involves the decision-making behavior of a firm. The other topics listed involve macroeconomic issues or government policies, which are not the main focus of microeconomics.

Which of the Following Is a Fundamental Topic Addressed by Microeconomics