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Introduction of Macroeconomics

The term Macro-economics can be precisely recognized as the branch of economics that deals with the study of the entire economy including national, regional and the global economy with respect to performance, conduct, decision-making and lastly, structure. Macroeconomics principally lays more emphasis on the variables that pursue methodical and expected course of conduct and can be easily evaluated autonomously on the basis of the judgments of various representatives who decide their extent. More particularly, it is a review of national economies and the estimation of national income. The concept of macroeconomics is comparatively broader than the notion of microeconomics. Moreover, one needs to have precise knowledge of microeconomics to efficiently understand the concepts of macroeconomics.

Macroeconomics includes study of various indicators like price indices, GDP and unemployment rates so as to fully recognize how the entire economy operates. It formulates structures that elucidate the association among distinct factors namely; inflation, savings, consumption, international trade investments, national income and output, unemployment, international finance etc. Additionally, macroeconomics models and their predictions are employed by both large organizations as well as governments to aid growth and analysis of economic strategies and business policies.

Further, microeconomics includes several theories and topics out of which some have been listed below:

1. Price and Inflation
2. Exchange Rate
3. Gross Domestic Product GDP
4. Components of GDP
5. Capital and Investment
6. The Labor of Market
7. Wages and Income
8. Concept of Money, Wealth and Income
9. Banks and Interest Rates
10. Macroeconomics Models
11. Growth Theory and Production Function
12. The Classical Model
13. Keynesian Cross model
14. IS-LM-model
15. The AS-AD-model
16. The complete Keynesian model
17. The neo-classical synthesis
18. Exchange rate determination and the Mundell-Fleming model