M.A. DEGREE EXAMINATION, NOVEMBER 2017
First Semester
Economics
MACRO ECONOMICS I
(CBCS 2014 onwards)
Time 3 Hours Maximum 75 Marks
Part A (10 X 2 20)
Answer all questions.
1. Define National Income.
2. What is meant by Social Accounting?
3. What do you mean by full employment?
4. List any two basic assumptions of Walrasian equilibrium
model.
5. What is wealth effect?
6. State Keynesian Psychological law of consumption.
7. List out the determinants of commodity market
equilibrium.
8. What is devaluation?
9. Who are the major tenets of Neo-Classical Macro
Economics?
10. Expand NAIRU.
Sub. Code
4MEC1C2
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Part B X 5 25)
Answer all questions, choosing either or
11. Explain the necessity of aggregative approach.
Or
How are the various sector accounts consolidated?
12. Illustrate Say's law of market in a money economy.
Or
How do changes in income and price affect ADF?
13. Bring out the main elements of Duesenberry's Past
income hypothesis.
Or
What are the factors that cause shifts in MEC?
14. Indicate the basic propositions of the rational
expectation hypothesis.
Or
How can BoP disequilibrium be corrected through
price change?
15. Write a short note on aggregate supply hypothesis.
Or
Discuss the views of clover on macro economics.
Part C X 10 30)
Answer any three questions.
16. Explain the flow of funds accounting.
17. On what grounds was the classical theory of employment
attacked by Keynes?
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18. Examine the factors that determine consumption
function.
19. How will you determine the general equilibrium of the
economy through IS-LM function?
20. Enumerate the important principles of Neo-Classical
Macro economics.
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