The correct answer is: A. Macro economic analysis
Macroeconomics is the study of the economy as a whole, including topics such as inflation, unemployment, and economic growth. National income is a measure of the total value of goods and services produced in a country in a given year. It is a key indicator of the health of an economy, and is used to track economic growth and inflation.
Microeconomics is the study of individual economic units, such as households and firms. It focuses on the behavior of these units and how they interact with each other in the market. Business cycle analysis is the study of the fluctuations in economic activity that occur over time. It seeks to understand the causes of these fluctuations and the policies that can be used to mitigate them. Analysis of government budget is the study of the government’s spending and revenue. It focuses on how the government raises and spends money, and how this affects the economy.
In conclusion, the concept of national income lays down the basis of macroeconomic analysis because it is a measure of the total value of goods and services produced in a country in a given year. This information is used to track economic growth and inflation, which are key indicators of the health of an economy.