Scope of Macro Economics

The study of the macro economics consists of the study of the following subjects:
1. Theory of income and Employment
• Explain what determine the level of employment and National Income
• What causes Involuntary unemployment
• Theories of income and employment determination.
2. Macro theory of Distribution
• Distribution of factor payments (wages, profit) in National Income is done.
• Comparative share of different classes of people in National Income is determined.
3. Theory of Business Cycle and fluctuation
• Study of trade and fluctuation is done
• Factor of boom and depression in the trade cycle and their effects with their removal
4. Theory of General Price Level
• Formulation of general price level is studied
• Problems related to inflation, deflation are of prime subject matter.
5. Theory of economic growth
• Explains various issues relating to economic growth and development
• Economic theories for fast and balanced growth
6. Macroeconomic Policies
• Deals with various Policies for Macro economic Growth