What Is the Basic Difference Between Macroeconomics and Microeconomics

question 267

Multiple Choice

What is the basic difference between macroeconomics and microeconomics?

• A) Microeconomics explores the causes of inflation, while macroeconomics focuses on the causes of unemployment.
• B) Microeconomics concentrates on the behaviour of individual consumers, while macroeconomics focuses on the behaviour of firms.
• C) Microeconomics concentrates on the behaviour of individual consumers and firms, while macroeconomics focuses on the performance of the entire economy.
• D) Microeconomics concentrates on individual markets, while macroeconomics focuses primarily on international trade.

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Definitions:

Service Business

is a type of business that provides intangible products or services to consumers instead of physical goods.

Financial Statement

A comprehensive report detailing a company's financial performance, position, and cash flows over a specific period.

Credit Terms

Conditions under which credit is extended by a lender to a borrower, detailing the repayment time frame, interest rate, and other conditions of the credit agreement.

Merchandise

Goods bought for resale in the course of business, typically in a retail or wholesale establishment.