Summary introduction to macroeconomics

introduction to macroeconomics
a long-run equilibrium occurs when long-run aggregate supply and aggregate demand meet. What
does having long-run equilibrium indicate about a society?

the society is using all of its resources efficiently

which best describes the purpose served by economic models within an economic system?

models identify patterns

in microeconomics, what occurs when equilibrium is reached?

prices are set

which body or group is most able to use money to influence the economy?

government

why are imports, which bring goods into a country, considered a leakage factor?

the money paid to producers of imports leaves the country

which statement best describes why a government's actions are important in macroeconomics?

government controls industry through policy, government is both a consumer and a producer, and
government can use policy to influence the economy

economic interactions involving which of the following would most likely be studied in
macroeconomics?

international monetary fund policy

In microeconomics, price helps determine both quantity supplied and quantity demanded. Which
other factors can impact each by causing a shift to occur?

quantity supplied is determined by production costs, and quantity demanded is determined by desire
for the product

what area of economics focuses on the interactions between individual consumers and producers?

microeconomics