The branch of economics that studies the aggregate decisions of all households and all firms is called:
A)positive economics.
B)normative economics.
C)microeconomics.
D)macroeconomics.

Question

The branch of economics that studies the aggregate decisions of all households and all firms is called:
A)​positive economics.
B)​normative economics.
C)​microeconomics.
D)​macroeconomics.

Quizplus · Accepted Answer

Macroeconomics is the branch of economics that studies the aggregate decisions of all households and all firms, such as national income, inflation, unemployment, and economic growth. Positive economics and normative economics are subdivisions of both microeconomics and macroeconomics, but they do not specifically focus on the aggregate decisions of all households and all firms.

The Branch of Economics That Studies the Aggregate Decisions of All