Macroeconomics differs signicantly from microeconomics in that in the former, we tend to focus on aggregates, the collective value of some item of interest, such as income, spending, etc. In the readings from Chapter 11, the focus is on aggregate demand and aggregate supply. These are, obviously, the demand and supply functions for the entire economy. Much ofmacro. also deals with policythat is, what to do about economic problems and challenges. Ely default really, it's the government which plays the leading role in developing and implementing macroeconomic policy. Stabilization policy is the effort to keep economic growth on track without experiencing dramatic pricelevel changes. In doing so, the government intervenes in the economy, sometimes stimulating or contracting the demand side of the economy, sometimes the supply side. The question here is actually quite an important one because the very foundations of major macroeconomic theory which we're now going to be looking at - rests on this determination: Which of these two sides to the economy AD or A5 - are in your mind the most critical points of focus in terms of economic policy? ls managing aggregate demand [particularly from households} the most obvious and effective way to manage output, or is working with the aggregate supply side (that from rms} the best way to go