Which of the Following Is True

question 35

Multiple Choice

Which of the following is true?

• A)The macro level affects the micro level but not vice versa.
• B)The micro level affects the macro level but not vice versa.
• C)The micro level and macro level do not affect each other.
• D)The micro level and macro level both affect each other.

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Definitions:

Bromides

Compounds containing a bromine ion or a derivative thereof; in colloquial usage, a bromide is a commonplace or boring statement intended to placate or pacify.

Platitudes

Often overused statements or remarks that are intended to convey moral or practical truths, but are perceived as lacking in originality or sincerity.

Pareto Efficient Allocation

An economic state where resources are allocated in such a way that it is impossible to make one individual better off without making at least one individual worse off.

Strictly Convex Preferences

Preferences that demonstrate a consumer's increasing marginal rate of substitution, indicating a strong preference for diversified bundles of goods over homogeneous bundles.