Question

Which of the following is not a question addressed by macroeconomists? a. Why is average income high in some nations but low in others? b. What, if anything, can the government do to promote growth in incomes, low inflation, and stable employment? c. What is the impact of foreign competition on the U.S. auto industry? d. Why do production and employment expand in some years and contract in others?

Answer 1

Answer:

c. What is the impact of foreign competition on the U.S. auto industry?

Explanation:

Economic theory is divided into two broad areas: macroeconomics and microeconomics.

Macroeconomics discusses large economic aggregates, such as income, inflation, and employment variations. It is an approach that aims to discuss these factors and bring about improvements through economic policies.

In turn, microeconomics deals with micro factors, such as the behavior of consumers and companies, including in relation to competitive structures. Therefore, item (D) deals with microeconomics and not macroeconomics.