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NCERT Textbook: Introduction Macroeconomics | Indian Economy for UPSC CSE PDF Download

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FAQs on NCERT Textbook: Introduction Macroeconomics - Indian Economy for UPSC CSE

1. What is macroeconomics?
Ans. Macroeconomics is a branch of economics that deals with the performance, structure, and behavior of the entire economy rather than individual markets. It studies the aggregate behavior of the economy, including topics such as inflation, unemployment, economic growth, and monetary and fiscal policy.
2. What are the main goals of macroeconomic policies?
Ans. The main goals of macroeconomic policies are to promote economic growth, achieve full employment, and maintain price stability. Other objectives include balancing international trade and achieving a stable financial system.
3. What is the difference between microeconomics and macroeconomics?
Ans. Microeconomics focuses on the behavior of individual economic agents such as households, firms, and markets while macroeconomics studies the economy as a whole. While microeconomics examines the supply and demand of individual goods and services, macroeconomics looks at the overall performance of the economy.
4. What is GDP and what does it measure?
Ans. GDP stands for Gross Domestic Product and it measures the monetary value of all the final goods and services produced in a country during a given period, usually a year. It is used as an indicator of the health and performance of a country's economy.
5. What is monetary policy?
Ans. Monetary policy refers to the actions taken by a central bank, such as the Federal Reserve in the United States, to manage the supply of money and credit in the economy. It includes setting interest rates, controlling the money supply, and regulating banks. Monetary policy is used to achieve macroeconomic goals such as stabilizing prices, promoting economic growth, and maintaining full employment.
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