Study and know very well the
following topics:
·
The ten (10)
principles of economics and the three (3) categories into which they are
organized
·
Study and know how
to calculate slopes of demand and supply curves and the meanings of positive vs
negative vs vertical and horizontal slopes (Study the
Mathematical Appendix in your Textbook)
·
The effect of
multiplier on autonomous macroeconomic aggregates
·
Injection and
leakage variables in Keynesian models
·
Differences between Keynesian and Classical Models
·
Concepts of
short-run and long run Phillips Curve
·
Relationship
between the rates of inflation and unemployment in the short-run and the
long-run
·
Concept of
macroeconomic stabilization
·
Policy objectives
of macroeconomic stabilization
·
Computation of the rate
of inflation and rate of deflation
·
Interpretation of
the rate of inflation and rate of deflation
·
Definition of the consequences or costs of inflation
·
Definition of
demand-pull inflation
·
Definition of
cost-push inflation
·
Definition of
Wage-Price spiral
·
Definition of
excessive government spending and monetary expansion
·
Relationship
between inflation and interest rate (real and nominal)
·
Definitions of Price indices: CPI, PPI and GDP Deflator
·
Purposes of price
indices and their limitations
·
Five (5) steps
used to construct price indices