0311-226 - Macroeconomics - Final Question

1. a. Analyze monetary policy with its different classifications under taken by the central bank of a nation. [5] b. Assume that your economy is facing an inflationary pressure for cost push inflation. Under such situation what type of monetary policy you would like to suggest for your economy? Explain it. [5] 2. a. Explain different functions of money with example. [5] b. Evaluate the demand for money. Interpret different motives of demand for money. [5] 3. a. How would you measure unemployment rate? If the population of Bangladesh is 180 million, its labor force consists of 130 million and 95 million people are employed, estimate unemployment rate for Bangladesh. [5] b. Explain the fiscal policy actions which will take by Government of Bangladesh to reduce the level of unemployment rate for the country. [5] 4. Write Short Notes: [10] a. Demand-pull Inflation. b. Velocity of Money c. Phillips curve.