Macro Economics — Summer 2023

Describe internal and external causes of business cycles?

Explain the circular flow of income and expenditure in different sectors of economy, with the help of a diagram.

Discuss in detail about demand-pull inflation and wage-pull inflation.

What are the parameters of National Income? How nominal GNP is different from real GNP?

What is the basic theme of the life cycle theory of consumption? Does this theory really hold in practice?

Explain the Harrod-Domar theory of economic growth.

What is Philip’s Curve? Describe the reasons behind the negative slope of the Philip Curve.

Explain Say’s Law of Market. Also mention its implication and limitation.

Macroeconomics explains what is taken as given in microeconomics and vice versa. Discuss the validity of this statement.

Explain in detail Fisher’s QTM (Quantity Theory of money).

Neither under saving nor over saving is good for any economy. Discuss.

Explain Keynesian theory of Income and Employment.

Explain the Keynesian life-cycle theory of consumption in detail.

Define Monetary Policy. What is the scope of Monetary Policy?

Describe in detail the instruments of Fiscal Policy and Target variables.

Define Fiscal Policy. What is the scope of Fiscal Policy?

Describe in detail the instruments of Monetary Policy.