DESCRIPTION OF COURSES
AG ECON 602 MACROECONOMICS II (3L+0P) I
Pre-requisite Ag Econ 502 Macroeconomics I
The aim is to provide an analytical background to macro-economic issues and policy concerns such as inflation, trade cycles, stabilization policies and international financial markets.
UNIT I: INFLATION AND GROWTH
Introduction to dynamic macro-economic models, Inflation and stagflation: measurement and effects, demand side and supply side inflation, Inflation- unemployment tradeoffs, recent developments in Inflation theory, empirical policy aspects of inflation, productivity and inflation, supply side economics.
UNIT II : TRADE CYCLES
Classical and neo-classical theories of Investment, Acceleration principle, Trade cycles : its nature and causes, theories of capital and investment, Hicks model of trade cycles, role of economic policies
UNIT III: STABILIZATION POLICIES
The instruments and impact of monetary and fiscal policies as an instrument of development, incidence of tax and fiscal policies, extension of Keynesian model: investment and economic growth, review of economic policies in India, case studies
UNIT IV: INTERNATIONAL MACRO-ECONOMIC ENVIRONMENT
Internal and external borrowings, Deficit financing, International trade theories and exchange rates, International macro-economic policies and institutions.