1. CHAPTER 1 INTRODUCTION TO MACROECONOMIC
PB202 MACROECONOMICS
CHAPTER 1
INTRODUCTION TO MACROECONOMIC
Prepared by: Azlina bt Azmi
Session of December 2010

2. Arrow Process Chapter Summary Why use graphics from PowerPointing.com?
- What is macroeconomics?
Macroeconomics versus microeconomics
Macroeconomic goal
Price stability
Economic growth
Full employment
- Distribution of income
- What is aggregate demand?
-the curve
GOVERNMENT POLICIES AND TOOLS
MACROECONOMICS IN GENERAL
AGGREGATE DEMAND
AGGREGATE SUPPLY
MACROECONOMIC GOAL
Fiscal policy (tax & government spending) and Monetary Policy (supply of money)
Definition
- the curve
Prepared by: Azlina bt Azmi
Session of December 2010
This illustration is a part of ”Building Plan”. See the whole presentation at slideshop.com/value-chain

3. What is macroeconomics?
The branch of economics that studies decision making for the economy as a whole (inflation, unemployment, economy growth, money supply, national incomes)

4. Macroeconomics vs Microeconomics
Studies individual income
Studies national income
Analyzes demand for and supply of labor
Analyzes total employment in the economy
Deals with households’ and firms’ decisions
Deals with aggregate decisions
Analyzes demand and supply of goods
Analyzes aggregate demand and aggregate supply

5. Inflation

7. Government Policies
In order to stimulate economic growth