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Al- Azhar University- Gaza Midterm Exam Course: Macroeconomics

Economics Department Spring 2014 Time: 1 hour

_____________________________اسم الطالب/ة الرقم الجامعي:_____________

Answer the following 4 questions carefully. ANY ADDITIONAL PAPERS WILL NOT BE GRADED

Q1- Define: (10 marks)

a. Macroeconomics________________________________________________________________

b. A leakage______________________________________________________________________

c. Economic growth________________________________________________________________

d. Basic prices_____________________________________________________________________

e. Imports________________________________________________________________________

Q2- What is the circular flow? Draw showing arrows. (10 marks)

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Q3- What is GNP Deflator? If GNP Deflator for a certain year was 1.2, what does this indicate? (5 marks)

Q4- Derive Aggregate Demand curve out of its components: Consumption and Investment. (15 marks)

“End of Questions”