Answers

Anki Jain
Jul 29, 2020

The given statement is refuted.

  • Micro economics involves limited degree of aggregation. For example, market demand (micro concept) is derived by aggregating individual demands of all the buyers in  particular market.
  • On the other hand, macroeconomics involves the highest degree of aggregation. For example, aggregate demand (macro concept) is derived for the entire economy. It  means, micro economics and macroeconomics differ in degree of aggregation.