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20. “Macroeconomics is nothing but a simple aggregation of all the microeconomic

ID: 1116630 • Letter: 2

Question

20. “Macroeconomics is nothing but a simple aggregation of all the microeconomic parts.” Do you agree or disagree with this statement?

A) Don't agree, because there is a lot more to the study of macroeconomics than the sum of its individual microeconomic parts.

B) Agree, because macroeconomics is exactly equal to the sum total of all the microeconomic units.

C) Don't agree, because these two disciplines deal with completely independent issues.

D) Don't agree, because it is microeconomics which is an aggregation of all the macroeconomic parts.

Explanation / Answer

20.

A) Don't agree, because there is a lot more to the study of macroeconomics than the sum of its individual microeconomic parts.

Macroeconomics is the study of aggregates but not a simple aggregation of micro.What is true for individuals may not be true for the economy as a whole.The two concepts of microeconomics are two sides of the same coin they are comprehensive..