Which of the Following Is a Macroeconomic Issue

question 481

Multiple Choice

Which of the following is a macroeconomic issue?

• A) the purchasing decisions that an individual consumer makes
• B) the effect of increasing the money supply on inflation
• C) the hiring decisions that a business makes
• D) the effect of an increase in the tax on cigarettes on cigarette sales

---

Definitions:

Long-Term

Refers to holding an asset for more than a year before disposal, affecting the calculation of capital gains and losses for tax purposes.

Short-Term Gain

A profit from the sale of an asset held for one year or less.

Investment Portfolio

An assortment of financial assets including stocks, bonds, commodities, cash, and equivalents, such as mutual funds and exchange-traded funds (ETFs).

Preferential Tax Treatment

Special tax rules that result in a lower tax rate or beneficial tax conditions for certain types of income or taxpayers.