ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Macroeconomics studies how individuals make decisions about what to produce and what to consume. Consumers will pay more for a product if the supply of that product increases. A supply curve demonstrates the relationship between price and the quantity of a product supplied.

Detailed explanation-2: -Macroeconomics: Study how decisions of individuals coordinated by markets in the entire economy join together to determine economy-wide aggregates like employment and growth. They study the performance of the economy as a whole.

Detailed explanation-3: -Macroeconomics is the study of whole economies–the part of economics concerned with large-scale or general economic factors and how they interact in economies.

Detailed explanation-4: -False, microeconomics deals with prices and production in the market whereas the study of aggregates is the matter of macroeconomics. 1) Macro-Economics is the study of aggregates. 2) Macro-Economics is also known as income and employment theory. 3) The scope of Macro-Economics is wide.

Detailed explanation-5: -Consumer theory is the study of how people decide to spend their money based on their individual preferences and budget constraints. Building a better understanding of individuals’ tastes and incomes is important, because these factors impact the shape of the overall economy.