M.A. (Semester IV) (CBCS) Examination Mar/Apr-2018
Economics (Paper III)
MACRO ECONOMIC ANALYSIS
Time: 2½ Hours
Max. Marks: 70
Instructions: All questions are compulsory. Figures to the right indicate full marks.
Q.1
Choose the correct alternative.
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Money inflation means stage of
Constant Price
Decreasing prices
Increasing Prices
None of these
Transaction demand for money varies
Positively with income
Negatively with rate of interest
Positively with rate of interest
Negatively with income
Philips Curve shows the relation in
Inflation and unemployment
Income and Consumption
Income and Price level
None of these
In India, inflation most adversely affects
The Govt Pensioners
The factory workers
The traders
The agricultural labourers
Real balance effect is the contribution of
Keynes
Pigou
Samuelson
Pateinkin
Mundell-Fleming model assumes
Increasing nominal wages and prices
Decreasing nominal wages and prices
Stable nominal wages and prices
None of these
According Baumol's, the relationship between demand for money and rate of interest is
Positive
Stable
Proportional
Inverse
According to there is proportional relationship between price level and cash demand for money.
Baumol
Tobin
Friend man
Philips
IS-LM-BP model is related
Pateinkin
Mundell-Fleming
Keynes
Hicks and Hanson
10) According to Tobin, risk taker investors are called
Gambler
Positive Investors
Negative Investors
All of above
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11) 'Fisher's equations are not wrong but it need to be restate!' who said this statement?
Keynes
Friedman
Baumol
J. B. Say
12) Post-Keynsian approach of demand for money is related to
Baumol, Tobin and Keynes
Tobin, Pateinkin and Fisher
Baumol, Tobin and Pateinkin
Baumol, Tobin and Solow
13) In running inflation the annual growth rate of price is to be

3 to
10%
20 to 30%
14) The concept Rational expectations are firstly developed by
John H. Muth
Robert Lukas
Thomas Sargent
None of these
Q.2
Write a short answer. (Any seven)
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What is demand pull inflation?
Which is the more significant motive that causes people to hold money according to Baumol?
Who has explained that money is demanded as asset or capital?
Philips Curve reveals the relationship between which factors?
Define Fiscal Policy?
What is inflationary gap?
What is warranted rate of growth?
What is meant by natural rate of unemployment?
What is open economy?
What is macro economic analysis?
Q.3
Write short notes. (Any Two)
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Real balance effect
Short run Philips Curve
Baumol's Inventory Theoretical Approach
Monetary approach to inflation
Q.4
Write answer of the any one of the following.

Explain the Tobin's model of demand for money.
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OR

Discuss the various measures to control Inflation.
Q.5
Discuss on policy implications of new classical approach.
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