Log out Go to App
Go to App

Learning Materials

Features

Discover

Chapter 5: Problem 1

Which of the following problems are likely to be studied by a microeconomist and which by a macroeconomist? a. The rapid growth of Twitter b. Why unemployment in the United States fell from 2010 to 2018 c. Why Japan's economy grew faster than the U.S. economy in the \(1980 \mathrm{~s}\), but slower in the \(2000 \mathrm{~s}\) d. Why the growth of health-care costs slowed down in recent years

Short Answer

Expert verified
a) Twitter's rapid growth b) U.S. unemployment decline between 2010 and 2018 c) Comparison of Japan's and U.S. economic growth in the 1980s vs. 2000s d) Slowed growth of health-care costs

Step by step solution

01

Problem a: Twitter's rapid growth

A microeconomist would be more likely to study this problem, as it focuses on the growth of a single company and the factors that have contributed to that growth.
02

Problem b: U.S. unemployment decline between 2010 and 2018

A macroeconomist would be more likely to study this problem, as it relates to a broad, widespread economic change that has occurred over several years and which affected the entire U.S. population in some way.
03

Problem c: Comparison of Japan's and U.S. economic growth in the 1980s vs. 2000s

A macroeconomist would be more likely to study this problem, as it involves comparing the overall economic growth of two countries over time, which is a core focus of macroeconomics.
04

Problem d: Slowed growth of health-care costs

This problem could arguably be studied by both microeconomists and macroeconomists, depending on the scope and specific focus of the study. For example, a microeconomist might examine the impact of slowed health-care cost growth on individual consumers and businesses, while a macroeconomist might evaluate the broader implications for the overall economy and government spending.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Start your free trial

Over 30 million students worldwide already upgrade their learning with Vaia!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Use an aggregate supply-and-demand diagram to study what would happen to an economy in which the aggregate supply curve never moved while the aggregate demand curve shifted outward year after year.

Which of the following transactions are included in gross domestic product, and by how much does each raise GDP? a. Smith pays a carpenter \(\$ 50,000\) to build a garage. b. Smith purchases \(\$ 10,000\) worth of materials and builds himself a garage, which is worth \(\$ 50,000\). c. Smith goes to the woods, cuts down a tree, and uses the wood to build himself a garage that is worth \(\$ 50,000\) d. The Jones family sells its old house to the Reynolds family for \(\$ 400,000\). The Joneses then buy a newly constructed house from a builder for \(\$ 500,000\). e. You purchase a used computer from a friend for \(\$ 200\). f. Your university purchases a new mainframe computer from IBM, paying \(\$ 25,000\). g. You win \(\$ 100\) in an Atlantic City casino. h. You make \(\$ 100\) in the stock market. i. You sell a used economics textbook to your college bookstore for \(\$ 60\). j. You buy a new economics textbook from your college bookstore for \(\$ 100\).
See all solutions

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.

Sign-up for free