Introduction to Macroeconomics

Macroeconomics approaches the study of economics from the viewpoints of

• individual firms

• individual consumers

• government units

• the entire economy

____ means total of real production of final goods and services available in the country.

• Aggregate demand

• Aggregate supply

• Inflation

• Aggregate output

Macroeconomics is a study of

• individual price levels

• government units

• the entire economy

• the behavioral of individuals firms

Which of the following is related to macroeconomics?

• An empirical analysis of general price levels and unemployment rates since 1999.

• A study of how hiring more foreign workers affect the construction sector.

• An investigation of petrol price increases and the impact on Malaysians.

• An examination of the income of IT graduates.

A two-sector economy in the circular flow diagram is represented by ___.

• households and the government

• firms and the government

• households and firms

• banks and firms

The ____ slopes upwards because higher price levels will raise domestic output.

• aggregate demand curve

• aggregate supply curve

• demand curve

• none of the above

Government policies regarding taxes and expenditures are called ___.

• fiscal policies

• growth policies

• monetary policies

• supply side policies

Which of the following is a macroeconomic statement?

• The gross profit of all Malaysian Business were RM 10 billion last year.

• The price of beef declined by 1% last year

• General motors' profits increased in the year 2003

• The productivity of steel works increased by 1% in the year 2003

Define Macroeconomics.

The study of aggregate income and expenditures and the Per Capita income of one country

• Micro Economics

• Macro Economics

• Capital Management

• Government Budget