BNF 1223- MACROECONOMICS

Tutorial No 01

1. “Macroeconomics is the study of economic aggregates and averages”.

Do you agree? Explain.

2. Briefly discus the Scope of macroeconomics by highlighting its significance.

3. What do you mean by Deduction and Induction in economic analysis? Why

each approach is important?

4. Distinguish between Microeconomics and Macroeconomics?

5. Discuss the possible connectivity between Actual Output , potential output

and Business Cycle.

6. Explain the concept of Business cycle and relationship between Business

cycle and macroeconomic variable

7. What do you mean by the macroeconomic equilibrium

8. What are the major macroeconomic variables? How the developments of

these variables together explain the overall economic behavior?

9. What do you mean by national income deflator? Why it is important?

10. What do you mean by GDP at constant prices? Why it is an important

measurer in the economy?

11. Define economic growth. And what are the major determinants of economic
growth in Sri Lanka?

12. Discuss the main features of the current economic crisis in Sri Lanka.

13. What is meant by “Fundamental Psychological Law” as expounded by

Keynes?

14. What is Marginal Propensity to Consume(MPC)? Can the value of MPC be

unity and why?

15. Distinguish the speculative demand for money from the transaction and
precautionary demand for money

Prof . Rathnasiri Ranasinghe

WUSL.

File/Macro 2023/Discussion/01