Final answer:
The study of the aggregate behavior of an economy falls under the category of macroeconomics. It differs from microeconomics, which focuses on individual entities, and from normative and positive economics, which involve value judgments and factual statements, respectively.
Step-by-step explanation:
When we study the overall ups and downs of an economy, our analysis would be called macroeconomics. This area of economics looks at the aggregate behavior of the entire economy rather than the behavior of specific individuals or firms which is the realm of microeconomics.
In contrast, normative economics is concerned with what the goals of the economy should be, involving opinions and value judgments that cannot be tested for truth.
Positive economics, on the other hand, deals with factual statements about the economy that can, in principle, be tested.
For example, an economist might perform a positive analysis by assessing whether a proposed subway system brings more benefits than costs, whereas a call for extended unemployment compensation because it's believed a wealthy nation should support its citizens is a normative statement.