Bring out the salient features of real business cycle models. What are its implications?

How does taking the 'income levels' as an indicator of development defeats the objective of tackling the multi-faceted dimensions of development? Explain.

What does the Phillips curve signify? How do you reconcile the difference in the shape of the curve in the short run and the long run?

Explain the mechanism through which internal and external balance takes place under flexible exchange rate.

 What are the implications of IS and LM curves? What are the factors on which the position and the slope of IS and LM curves depend?

Specify the Lucas Supply Function. What are its implications? In what respects is it different from the classical aggregate supply function?

Permanent income hypothesis

Menu cost

Classify various theories of unemployment based on the possible responses of the firm.

Critically evaluate the endogenous growth theory.

What does the Phillips curve signify? How do you reconcile the difference in the shape of the curve in the short run and the long run?

Explain the mechanism through which internal and external balance takes place under flexible exchange rate.

What are the implications of IS and LM curves? What are the factors on which the position and the slope of IS and LM curves depend?

In the context of the Solow model, explain the condition under which an economy attains steady state. Use appropriate diagram and equation to illustrate your answer.

What do you understand by the term 'Macro Economic instabilities? Which policy instruments would you like to suggest for stablishing an economy suffering from macroeconomics shocks?

 What is fiscal deficit? Explain the various ways through which fiscal deficit is financed.

Sink Costs

Critically examine the relative merits and demerits of the fixed and flexible exchange rates.

Dual federalism

Discuss the various instruments of trade protection. Differentiate between quotas and tariffs.