Question : Assertion: Macroeconomics focuses on the overall performance and behavior of the economy as a whole.
Reason: Macroeconomics examines aggregate variables such as inflation, unemployment, and economic growth.
Option 1: Both the assertion and reason are true, and the reason is a correct explanation of the assertion.
Option 2: Both the assertion and reason are true, but the reason is not a correct explanation of the assertion.
Option 3: The assertion is true, but the reason is false.
Option 4: The assertion is false, but the reason is true.
Correct Answer: Both the assertion and reason are true, and the reason is a correct explanation of the assertion.
Solution : The correct answer is (a) Both the assertion and reason are true, and the reason is a correct explanation of the assertion.
The assertion is true. Macroeconomics is a branch of economics that examines the economy at the aggregate level, studying variables such as national income, economic output, unemployment rates, inflation, and economic growth. It looks at the broader picture of the economy and analyzes the interrelationships between different sectors and markets.
The reason provided is a correct explanation of the assertion. Macroeconomics specifically analyzes these aggregate variables to understand and explain the overall functioning of the economy. It looks at the factors influencing inflation, unemployment levels, and the determinants of economic growth at the national or regional level.
Therefore, the correct answer is Both the assertion and reason are true, and the reason is a correct explanation of the assertion.
Question : Assertion: Macroeconomics analyzes the economy as a whole, focusing on aggregate variables such as GDP and inflation.
Reason: Macroeconomics studies the interrelationships between different sectors of the economy and the overall performance.
Question : Assertion: Microeconomics focuses on the individual units of an economy, such as households and firms.
Reason: Microeconomics examines the allocation of resources and the determination of prices in specific markets.
Question : Assertion: Unemployment and poverty go hand in hand. Reason: Poverty is a result of unemployment
Option 1: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
Option 2: Both Assertion (A) and Reason (R) are true and Reason (R) is not the correct explanation of Assertion (A)
Option 3: Assertion (A) is True but Reason (R) is False
Option 4: Assertion (A) is False but Reason (R) is True
Question : Assertion: Positive economics focuses on objective analysis and the description of how the economy works.
Reason: Positive economics seeks to explain economic phenomena without making value judgments.
Question : Assertion: Unemployment rate is a lagging indicator of the economic condition of a country.
Reason: Unemployment data reflects the impact of economic changes after they have occurred.
Option 1: Both assertion and reason are true, and the reason is the correct explanation of the assertion.
Option 2: Both assertion and reason are true, but the reason is not the correct explanation of the assertion.
Option 3: Assertion is true, but the reason is false.
Option 4: Assertion is false, but the reason is true.
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile