Total No.

of Pages: 2

5045

Register Number:
Name of the Candidate:

B.A. DEGREE EXAMINATION December 2014

(ECONOMICS)
(THIRD YEAR)

PART-III
710: MACRO ECONOMICS
(Including Double Degree)
Time: Three hours

Maximum: 100 marks

Answer any FIVE questions

(5 20 = 100)

1.

What is macroeconomics? How will you distinguish it from microeconomics?

2.

Explain the difficulties in the measurement of national income.

3.

Describe the Keynesian model of income and employment.

4.

Define effective demand. How does it determine the level of employment in a

country?

5.

What is consumption function? State the important features of Keynes

consumption function.

6.

What is meant by marginal efficiency of capital? What are the factors that
determine MEC in the country?

7.

Derive IS and LM functions.

8.

Explain the Keynesian theory of investment multiplier.

9.

Explain the characteristics of a trade cycle.

10.

What is meant by fiscal policy? What are its objectives?

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5045
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