Role) and Socialism (Government Role) in an economy. Globalism : An economic system where the economic activities of a nation are inter connected and inter dependent on each other nation. Stock : A quantity of a commodity that is constant at a point of time (Static) Flow : Variables measured over a period of time. (Dynamic) Economic Model : It is an explanation of how the economy, or part of the economy, works.
Circular Flow : It shows flows of income, goods and services and factors of production between economic agents such as firms, households, government and nations. - - Introduction to Macro Economics M O D E L Q U E S T I O N S Part-A Multiple Choice Questions . The branches of the subject Economics are . a) Wealth and welfare b) production and consumption c) Demand and supply d) micro and macro .
Who coined the word ‘Macro’? a) Adam Smith b) J M Keynes c) Ragnar Frisch d) Karl Marx . Who is regarded as the Father of Modern Macro Economics? a) Adam Smith b) J M Keynes c) Ragnar Frisch d) Karl Marx .
Identify the other name for Macro Economics. a) Price Theory b) Income Theory c) Market Theory d) Micro Theory . Macro economics is a study of . a) individuals b) firms c) a nation d) aggregates .
Indicate the contribution of J M Keynes to economics. a) Wealth of Nations b) General Theory c) Capital d) Public Finance . A steady increase in general price level is termed . a) wholesale price index b) Business Cycle c) Inflation d) National Income .
Identify the necessity of Economic policies. a) to solve the basic problems b) to overcome the obstacles c) to achieve growth d) all the above . Indicate the fundamental economic activities of an economy. a) Production and Distribution b) Production and Exchange c) Production and Consumption d) Production and Marketing .
An economy consists of . a) consumption sector b) Production sector c) Government