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Macro-economics is also likely to make distinction between the real economy and
Virtual economy
Monetary economy
Normative economy
Underground economy
Macro-economics is also likely to make distinction between the real economy and Monetary Economy.
Macroeconomics is the branch of economics that studies the behavior and performance of an economy as a whole. It focuses on the aggregate changes in the economy such as unemployment, growth rate, gross domestic product and inflation.
Macroeconomics analyzes all aggregate indicators and the microeconomic factors that influence the economy. Government and corporations use macroeconomic models to help in formulating of economic policies and strategies.
Note: Monetary economy means a system or stage of economic life in which money replaces barter in the exchange of goods.
To sum up, macroeconomics distinguishes between the real economy and the monetary economy. The real economy deals with the production and consumption of goods and services, while the monetary economy deals with the creation, distribution, and use of money.
Hence option 2nd is correct.
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Hardeep kaur
pls provide more information about this , especially on "how ?"
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