Q. Which of the following is/are come/s under the definition of economic agents?
1.Consumers
2.Producers
3.Entities
Choose the correct answer from below given codes:

[A] 1 only

[B] 1 and 2 only

[C] 1 and 3 only

[D] 1, 2 and 3

Answer: D
Notes:

Explanation: By economic units or economic agents, we mean those individuals or institutions which take economic decisions.

  • They can be consumers who decide what and how much to consume.
  • They may be producers of goods and services who decide what and how much to produce.
  • They may be entities like the government, corporation, banks which also take different economic decisions like how much to spend, what interest rate to charge on the credits, how much to tax, etc.

Source: NCERT – Macro economics