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Macroeconomics (Buss 115) Question Paper

Macroeconomics (Buss 115)

Course:Education

Institution: Kenya Methodist University question papers

Exam Year:2013

TIME : 2 HOURS

Instructions:
Answer question one and any other two.

Question One
Define the following terms
Money market
International trade
Stock exchange
Capital goods
Analyse the determinants of national income in a developing economy.
(10mks)

Question Two
Discuss the function of a central bank of a country in fighting inflation. (20mks)

Question Three
Discuss the causes and the types of inflation commonly found in undeveloped countries. (20mks)
Question Four
Discuss the importance of nation income in a country like Kenya and the evils associate with poor distribution of resources. (20mks)

Question Five
Write short notes of any four of the following.
Bank drafts
Bill of exchange
Promissory note
Commercial banks
Fixed deposit account
Electronic banking
Barter transactions.

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