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20 October, 10:13

Macroeconomic policy will be needed to address rising inflation. B There is sufficient aggregate demand to cause inflationary pressures. C The equilibrium in the economy is at a level of output above full employment. D There is insufficient aggregate demand to reach full employment.

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  1. 20 October, 10:25
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    The answer is A) Macroeconomic policy will be needed to address rising inflation.

    Explanation:

    Macroeconomics policy addresses key issues in the economy such as the structure, performance, behavior, and decision-making of the whole, or aggregate, economy.

    The two main areas of macroeconomic research are long-term economic growth and shorter-term business cycles.

    In the short term, it focuses on the way the economy performs as a whole and then analyzes how different sectors of the economy relate to one another to understand how the aggregate functions. This includes looking at variables like unemployment Inflation and how it reflect on the Gross Domestic product.
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