General equilibrium theory is regarded as an instrument of microeconomic analysis in traditional economics textbooks, but its greater value in macroeconomic analysis is neglected. In fact, since the key aim of macroeconomics is to explain the tendency of change in the total of actual production, the consumer equilibrium theory can interpret how the structure of demand is adjusted by invention and supply of new products to increase the total of demand. Moreover, the producer equilibrium theory can expound how the structure of production is adjusted by production and supply of new products to increase the total of actual production.

Macroeconomics general equilibrium analysis; invention of new product; change in structure of production; increase of the total