Page 13 - Macroeconomics. book docx_Neat

14. National income represents:

a) Income of one person b) Income of one firm

c) Total income in the economy d) Government income only

15. Studying macroeconomics helps us understand: a) Individual behavior

b) Economic problems c) One market d) Firm profit

True / False Questions
1. Macroeconomics studies the economy as a whole.

2. Microeconomics focuses on total national income and inflation.

3. Scarcity exists because human wants are unlimited while resources are limited.

4. Macroeconomics studies the behavior of one consumer or one firm.

5. National income is one of the main macroeconomic variables.

6. Gross Domestic Product (GDP) measures the total value of final goods and services
produced within a country.

7. Inflation refers to a decrease in the general price level.

8. Unemployment means that people who want to work cannot find jobs.

9. Economic growth refers to an increase in unemployment over time.

10. Macroeconomics helps governments design economic policies.

11. Studying macroeconomics is useful only for economists, not for individuals.

12. Price stability is an important objective of macroeconomics.

13. Macroeconomics ignores issues such as inflation and unemployment.

14. Economic stability means avoiding severe economic fluctuations.

15. Macroeconomics has no effect on daily life.

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