Which of the Following Could Be Considered a Macroeconomic Issue

question 77

Multiple Choice

Which of the following could be considered a macroeconomic issue?

• A) T-Mobile and MetroPCS finalize a merger.
• B) Twinkies goes bankrupt, and the entire snack industry experiences losses.
• C) The unemployment rate in the US falls to 7.5 percent from 7.7 percent during the month of June.
• D) The decision of Microsoft to offer a free upgrade to Windows 10.

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Definitions:

Efficiency Wage Model

A theory suggesting that higher wages lead to increased productivity by attracting higher quality workers and motivating all workers to avoid being fired.

Level of Employment

Refers to the number of people employed in the economy at any given time, influencing overall economic output.

Electronic Devices

Gadgets that operate on electrical energy, including computers, smartphones, and household appliances.

No Shirking Constraint

A concept in labor economics that suggests higher wages motivate employees to work harder, reducing shirking on the job.