Microeconomics studies

the economy as a whole, such as total output and the general price levelCorrect answerYour answerthe behaviour of individual units such as a consumer, a firm or one marketCorrect answerYour answeronly the decisions of the governmentCorrect answerYour answeronly trade between countriesCorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer B

Correct answer: B

'Micro' means small: microeconomics looks at one decision-maker or one market at a time.
Totals for the whole economy, such as national income, belong to macroeconomics.

Worth noting

The economy-as-a-whole option describes macroeconomics, the other branch.

Concept: Scope of microeconomics
Typical timeTypical: 40 s
Your timeYours: —

The rule this testsMicroeconomics and macroeconomics

Practise this chapter →

Ten questions from Central Problems & the PPC, at your own pace.

Practise this chapter →

Ten questions from Central Problems & the PPC, at your own pace.

Practise this chapter All 87 questions in Central Problems & the PPC Revise the notes for Central Problems & the PPC

Microeconomics studies

Explanation