Contents:

1. Learning Outcomes
2. Definitions
3. Government macroeconomic policy objectives
4. Links between macroeconomic problems and their interrelatedness
5. Relationship between inflation and unemployment
6. Fiscal Policy and its Effectiveness
7. Supply side policy and its effectiveness
8. Exchange rate policy
9. International trade policy
10. Problems and conflicts arising from the outcome of these policies
11. Existence of government failure in macreconomic policies

Candidates should be able to:

• [ ] Explain government macroeconomic policy objectives
• [ ] Explain the links between macroeconomic problems and their interrelatedness
• [ ] Explain the relationship between inflation and unemployment
• [ ] Explain the Philips curve
• [ ] Explain different policies in relation to different macroeconomic objectives