Macroeconomics focuses on the following units in an aggregative manner

Step 1: Analyze the question The question asks which units macroeconomics studies in an aggregative manner, meaning as whole groups or sectors rather than as individual decision-makers.

Step 2: Explain the concept

• Microeconomics studies individual units: a single consumer, a single firm, or a single market.
• Macroeconomics studies the economy as a whole, using aggregates such as national income, total employment, the general price level, and total consumption and investment.

The units are grouped into broad sectors:

1. Household sector (all households together)
2. Firms/business sector
3. Government sector
4. Corporate sector
5. External sector (exports, imports, and the rest of the world)

Step 3: Evaluate the options

• A. Household, firms, government, corporate sector and external sector. All of these are aggregated sectors, so this fits.
• B. "Individual consumers" and "individual firms" are micro-level units, so this is wrong.
• C. It includes "individual consumers", which is a micro concept, so this is wrong.
• D. It again uses "individual consumers" and leaves out government and the external sector, so this is wrong.

Step 4: Answer Option A is the only one that lists sectors in aggregate form without bringing in individual units.

Tip: In a macro vs. micro question, look for the word "individual". If an option mentions individual consumers or individual firms, it is describing microeconomics. Macroeconomics deals with sectors and aggregates.