What is the study of the entire economy of a nation called?

Study for the GED Social Studies Test. Practice with quizzes and multiple choice questions, each question offers hints and explanations. Get ready to excel on your exam!

The study of the entire economy of a nation is referred to as macro-economics. This discipline focuses on understanding the aggregate outcomes, such as national income, overall growth, inflation, unemployment rates, and how these large-scale economic factors interact. Macro-economics analyzes how actions of different sectors of the economy (households, businesses, and governments) affect overall economic performance and trends.

In contrast, micro-economics examines individual economic units, like consumers or firms, and their decision-making processes. Behavioral economics merges psychological insights with economic theory but does not focus on entire economies. Comparative economics, on the other hand, involves analyzing different economic systems or countries to understand their differences and similarities, rather than focusing on the holistic view of a single economy. Therefore, macro-economics is the appropriate term that encompasses the study of a national economy comprehensively.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy