Think about the following news items. Which items involve a microeconomic issue and which involve a macroeconomic issue? A. WHO recommends tax of at least 20% on sugary drinks B. U.S. economy adds 227,000 jobs in January C. More police, managed more effectively can reduce crime D. 7 ways streaming music will change in 2021 Statement A involves a issue. Statement B involves a issue. A. macro; micro B. micro; macro C. micro; micro D. macro; macro

Question

Think about the following news items. Which items involve a microeconomic issue and which involve a macroeconomic issue? A. WHO recommends tax of at least 20% on sugary drinks B. U.S. economy adds 227,000 jobs in January C. More police, managed more effectively can reduce crime D. 7 ways streaming music will change in 2021 Statement A involves a issue. Statement B involves a issue. A. macro; micro B. micro; macro C. micro; micro D. macro; macro

Answer 1

The correct answer is B. micro; macro.Statement A involves a microeconomic issue because it deals with the taxation of a specific product (sugary drinks), which is a matter of individual markets and consumer behavior.Statement B involves a macroeconomic issue because it pertains to the overall performance of the U.S. economy, specifically the employment rate, which is a broader economic indicator.Statement C involves a microeconomic issue as it discusses the effectiveness of police management, which can be considered a matter of individual markets and decision-making within a specific sector.Statement D involves a microeconomic issue as it focuses on the changes in the music streaming industry, which is a specific market and consumer behavior.Therefore, the correct answer is B. micro; macro.

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