Macroeconomics Is Based on Microeconomics for All of the Following

question 57

Multiple Choice

Macroeconomics is based on microeconomics for all of the following reasons except:

• A) when we study the economy as a whole, we must consider the decisions of individual economic actors.
• B) aggregate variables are simply the sum of variables describing many individual decisions.
• C) macroeconomic decision makers, when they make their choices, are required to maximize utility functions.
• D) to understand the determinants of aggregate investment, we must think about a firm's deciding whether to build a new factory.

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Definitions:

Delta Rhythm

A type of brain wave pattern, characterized by slow frequencies, typically associated with deep sleep and unconscious states.

Eyes Open

A state of being awake and alert, where the eyelids are lifted, allowing light to enter the eye and vision to occur.

Amplitude

In physics and other sciences, the maximum extent of a vibration or oscillation, measured from the position of equilibrium.

Strategic Fit

The degree to which an organization’s strategies align with its external environment and internal resources and capabilities, to achieve competitive advantage.