Maharashtra State BoardHSC Arts 12th Board Exam
Advertisement Remove all ads

Do You Agree with the Following Statement? Give Reason. Macro-economics is a Partial Equilibrium Analysis. - Economics

Answer in Brief

Do you agree with the following statement? Give reason.

Macro-Economics is a partial equilibrium analysis.

Advertisement Remove all ads

Solution

The above statement is not correct. Macroeconomics is a general equilibrium analysis. It studies all the economic variables simultaneously and also takes into account the functional relationship of these variables.  This approach assumes “everything depends on everything else”. On the other hand, partial equilibrium is the method of study in microeconomics.

Concept: Meaning and Features of Macro Economic
  Is there an error in this question or solution?
Advertisement Remove all ads

APPEARS IN

Micheal Vaz Economics HSC 12th Standard Maharashtra State Board
Chapter 8 Introduction to Macro Economics
Exercise | Q 1.5 | Page 69
Advertisement Remove all ads

Video TutorialsVIEW ALL [1]

Advertisement Remove all ads
Share
Notifications

View all notifications


      Forgot password?
View in app×