Match List-I with List-II and select the correct answer List-I List-II a. Adam Smith 1. General Equilibrium b. Micro-Economics 2. Wealth of Nations c. Macro-Economics 3. Partial Equilibrium d. Lord Keynes 4. General Theory of Employment, Interest and Money

The correct answer is: B. a-2, b-3, c-1, d-4

• Adam Smith is the father of modern economics. His book, The Wealth of Nations, is considered to be one of the most important works of economic theory ever written. In it, he argues that the free market is the best way to organize an economy.
• Microeconomics is the study of the behavior of individual economic agents, such as consumers, firms, and workers. It focuses on the factors that determine the prices of goods and services, the quantities of goods and services that are produced and consumed, and the distribution of income.
• Macroeconomics is the study of the economy as a whole. It focuses on the factors that determine the level of economic activity, the rate of inflation, and the unemployment rate.
• General Equilibrium is a state of the economy in which all markets are in equilibrium. This means that the quantity demanded of each good and service is equal to the quantity supplied, and the price of each good and service is equal to its marginal cost.
• Lord Keynes was a British economist who is considered to be one of the most important economists of the 20th century. His book, The General Theory of Employment, Interest and Money, is considered to be one of the most important works of economic theory ever written. In it, he argues that the government can play an important role in stabilizing the economy.

Here is a brief explanation of each option:

• A. a-1, b-2, c-3, d-4 This option is incorrect because it pairs Adam Smith with General Equilibrium. Adam Smith is the father of modern economics, and his book, The Wealth of Nations, is considered to be one of the most important works of economic theory ever written. In it, he argues that the free market is the best way to organize an economy. General Equilibrium is a state of the economy in which all markets are in equilibrium. This means that the quantity demanded of each good and service is equal to the quantity supplied, and the price of each good and service is equal to its marginal cost. Adam Smith did not write about General Equilibrium.
• B. a-2, b-3, c-1, d-4 This option is correct because it pairs Adam Smith with Microeconomics. Adam Smith is the father of modern economics, and his book, The Wealth of Nations, is considered to be one of the most important works of economic theory ever written. In it, he argues that the free market is the best way to organize an economy. Microeconomics is the study of the behavior of individual economic agents, such as consumers, firms, and workers. It focuses on the factors that determine the prices of goods and services, the quantities of goods and services that are produced and consumed, and the distribution of income.
• C. a-2, b-3, c-4, d-1 This option is incorrect because it pairs Lord Keynes with Microeconomics. Lord Keynes was a British economist who is considered to be one of the most important economists of the 20th century. His book, The General Theory of Employment, Interest and Money, is considered to be one of the most important works of economic theory ever written. In it, he argues that the government can play an important role in stabilizing the economy. Microeconomics is the study of the behavior of individual economic agents, such as consumers, firms, and workers. It focuses on the factors that determine the prices of goods and services, the quantities of goods and services that are produced and consumed, and the distribution of income. Lord Keynes did not write about Microeconomics.
• D. a-3, b-2, c-1, d-4 This option is incorrect because it pairs Lord Keynes with General Equilibrium. Lord Keynes was a British economist who is considered to be one of the most important economists of the 20th century. His book, The General Theory of Employment, Interest and Money, is considered to be one of the most important works of economic theory ever written. In it, he argues that the government can play an important role in stabilizing the economy. General Equilibrium is a state of the economy in which all markets are in equilibrium. This means that the quantity demanded of each good and service is equal to the quantity supplied, and the price of each good and service is equal to its marginal cost. Lord Keynes did not write about General Equilibrium.