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T Textbook Question Solutions
Questions for Review
1. 2. Macroeconomics focuses on questions that affect large numbers of individuals, including those in other nations. Microeconomists study the behavior of individual households and firms. Because the economy as a whole is comprised of a large number of households and firms, interactions at the aggregate level are the results of decisions of individual households and firms. The average American was eight-times as rich.
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Williamson ? Macroeconomics, Second Edition
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The Great Depression of the 1930¡¯s and World War II. What causes sustained economic growth? Could economic growth continue indefinitely, or is there some limit to growth? Is there anything that governments can or should do to alter the rate of economic growth? What causes business cycles? Could the dramatic decreases and increases in economic growth that occurred during the Great Depression and World War II be repeated? Should government act to smoo¡¦(»ý·«)