We have collected BBS 2nd Year Macroeconomics Question Paper 2078 with answers.
Subject: Macroeconomics For Business
Subject Code: MGT 209
Time: 3 Hours
Full Marks: 100
Pass Mark: 35
BBS 2nd Year Macroeconomics Question Paper 2078
Candidates are required to give their answers in their own words as far as possible. The figures in the margin indicate full marks.
Group A: Brief Answer Questions
Attempt All Question (10*2 = 20)
1. State the features of Macroeconomics.
2. What are the long-run determinants of Investment?
3. What are the methods of privatization?
4. Prepare a list of advantages of foreign employment.
5. What are the sources of Deficit financing?
6. Write any four assumptions of Say’s Law of Market.
7. Differentiate money flow and real flow.
8. What is meant by exchange rate.
9. Consider the saving function S=a+bYand interpret the components.
10. State the condition for labor market equilibrium according to classical economists.
Read More: BBS 2nd Year Exam Routine.
Group B = Short Answer Questions (Any Five) (5*10)
11. (a). Derive tax multiplier.
(b). Suppose in an economy, the following data is given;
C= 200+b(Y- T), T = 500+tY
I = 100 , G = 500 , X = 100 , M = 50+0.1Y
The margin propensity to consume (b) = 0.7 and income tax rate (t) = 0.20
i. Find the equilibrium level of income
ii. WHat will be the effect on equilibrium income when government expenditure increases by Rs. 50 billion and the tax rate decreased by 5%.
12. Explain the dynamic analysis of macroeconomics. How does it differ from the macro-static analysis?
13. Suppose that the Nepalese economy has realized the following structural equations for the product and money markets.
C = 200+0.8(Y- T), T = Rs. 40 billion, Msp = 200-3000i, Mt = 0.5Y
I = 200 -2000i G = Rs. 100 billion, m = Rs. 400 billion
i) Compute the equilibrium rate of interest and output.
ii) It is realized that the Nepalese economy is trapped in an economic recession. Nepal Rastra Bank has implemented a contractionary monetary policy. As a result of money, the supply increased by Rs. 300 billion. The government of Nepal has supported NRB and increased its planned expenditure by Rs. 200 billion. What will be the simultaneous effect on the equilibrium rate of interest and output?
14. Mention the features of the budgetary policy of Nepal.
15. Describe the components of fiscal federalism.
16. Do you agree that globalization solves the economic problems like high employment, low productivity, BOP disequilibrium, etc, faced by developing countries Like Nepal? Give your critical Comment
Group C: Analytical Answer Question (Any Two) (2*15 = 30)
17. Consider the following figures for national income accounts:
Description | Rs. in Million |
---|---|
Wages and Salaries | 44,000 |
Proprietor’s Income | 6,000 |
Government Consumption | 6,000 |
Receipts from the rest of the world | 800 |
Private Consumption expenditure | 52,960 |
Changes in Inventories | 400 |
Subsidy | 1600 |
Rental Income | 1800 |
Net Interest | 3,000 |
Dividends | 3,600 |
Mixed-Income | 2,000 |
Social Security contributed by employer’s | 3,000 |
Corporate Income | 10,000 |
Direct Taxes | 1,860 |
Current Transfer from the rest of the world | 5,000 |
Corporate Income Taxes | 2,400 |
Capital Consumption allowances | 3,200 |
Social Insurance Allowance | 13,600 |
Current Transfer from Government | 8,000 |
Indirect Business Taxes | 3,600 |
Imports | 2,600 |
Government Investment | 3,600 |
Payment to the rest of the world | 1,600 |
Net Fixed Capital Formation | 10,800 |
Exports | 1,440 |
Current Transfer from business firms | 3,000 |
Interest paid by the consumer | 4,000 |
a) Compute NNPmp by both income and expenditure methods.
b) Compute personal disposable income.
c) State the significance of real GDP in economic analysis.
d) What types of conceptual difficulties are encountered in the measurement of the GDP by-product Method?
18. Explain the principle of effective demand. How is it superior to the classical theory of employment?
19. Explain the principle of demand-pull inflation. How can it b removed by monetary and fiscal policies?
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Other Important Links:
Macroeconomics Notes PDF: CLICK HERE
Business Communication Question Paper 2078: CLICK HERE