Macro Economic Analysis

Paper Code: 
ATG/BSG/FSG– 223
Credits: 
6
Contact Hours: 
90.00
Max. Marks: 
100.00
Objective: 

The course will enable students to -

  1. Acquire knowledge about  the concept and theories of Macroeconomics 
  2. Gain an understanding about the macroeconomic variables including national income, inflation and trade cycle.

Course Outcomes (Cos):

 

Course

Learning outcome (at course level)

Learning and teaching strategies

Assessment Strategies

Paper Code

Paper Title

ATG / BSG / FSG 223

 

Macro Economic Analysis (Theory)

 

The students will be able to

   CO35.Understand fundamentals of macroeconomics, classical concept of aggregate demand and aggregate supply

  CO36. Gain insight into the Keynesian approach to income output and employment, consumption function, investment function, multiplier and accelerator

  CO37.Analyze the national income by comprehending the concept of National Income and measurement of national income.

    CO38.  Apply economic reasoning by understanding the concept of inflation, inflationary trends.

  CO39.Extend the knowledge of macro economics by understanding the concept and theories of trade cycle.

Approach in teaching:

 

Interactive Lectures, Discussion, Tutorials, Reading assignments, Team teaching

 

Learning activities for the students:

 

Field activities, Presentation, Giving tasks

Class test,

Semester end examinations,

Quiz, Solving Numerical problems in tutorials, Assignments,

Class Presentation

 

18.00

Macro Economics- Definition, Nature, Scope, Types of Macro Economics Analysis-Macro Static, Macro Dynamic and Comparative Static
Classical theory of Employment : Meaning ,Type of unemployment, Assumption, Say’s Law of Market, Explanation of classical theory of employment & criticism

18.00

Keynesian Theory of employment: Introduction, Assumption, Effective demand, Explanation, Criticism, Comparison between Keynesian and classical theory
Consumption function – Meaning, Attributes, Factors affecting consumption function and psychological law of consumption.

18.00

Investment functions: Meaning, Types of investment, Determinants of Investment, Factors affecting MEC, MEC and ROI, Investment demand curve.
Multiplier – Assumptions of Multiplier, Working of Multiplier, significance and limitations of multiplier,Leakages of Multiplier.
Accelerator- Meaning, Principles, Multiplier-Accelerator interaction

18.00

Inflation: Meaning, definition, cost- push inflation, demand- pull inflation, inflationary gap, measures to control inflation, effects of inflation.
Trade Cycle- meaning, Stages of trade cycle, theories of trade cycle; Keynesian theory of business cycle, Innovation theory of business cycle

18.00

National Income Analysis –Definition, Importance of national income calculation, Methods of measuring National Income, Calculation of National Income, Difficulties in measuring National Income, National income and Economic Welfare

Essential Readings: 

Essential Reading
Macro Economic theory - M.L. Seth, Laxmi Narayan Agarwal, Agra
Macro economic Theory – M.C. Vaish,WishwaPrakashan, New Delhi
Macro Economic Theory, H.L.Ahuja, S.Chand& Sons Publication, Delhi
Dwivedi, D. N. (2005). Macroeconomics: Theory and Policy. Tata McGraw-Hill Education

References: 

Macro Economic analysis - Edward Shapiro, Galgotia Publication, Delhi
Blanchard, O., & Giavazzi, F. (2003). Macroeconomic effects of regulation and deregulation in goods and labor markets. The Quarterly Journal of Economics, 118(3), 879-907.Romer D., 1996,Advanced Macroeconomics, McGraw-Hill International.
Obstfeld, M., Rogoff, K. S., & Wren-lewis, S. (1996). Foundations of international macroeconomics (Vol. 30). Cambridge, MA: MIT press.Krugman, P.R., and M. Obstfeld, 2003, International Economics: Theory and Policy, 6th edition, India: Pearson Education

Academic Year: 
2020-2021
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