Which of the following is true?
i.A rational choice is made on the margin.
ii.Microeconomics is the study of the national economy while macroeconomics is the study of the global economy.
iii.Economists try to understand how the economic world works by testing normative statements.
A) only i
B) i and iii
C) only ii
D) only iii
E) i and ii

Question

Quizplus · Accepted Answer

i. A rational choice is made on the margin, meaning decisions are made by comparing the additional benefits and costs of that choice. ii. Microeconomics actually studies individual and business decisions, while macroeconomics looks at the national and global economy. iii. Economists test positive statements (descriptive, factual statements about the world) rather than normative statements (which are prescriptive and value-based).

Which of the Following Is True