Macroeconomics Demystified

Half Title
Title Page
Copyright
Dedication
Preface
Acknowledgements
Contents
Introduction
Chapter 1: A Walk-through Theory
	Getting to Know the Market
	The Classical School
	A Solution from Keynes
	The Fall of Keynes: Discovering Stagflation
	Monetarism, Classical Principles Once Again
	Enter Supply-side Economics
	Economics Becomes Rational
	Now What?
Chapter 2: Econometrics: Your Actions, in Numbers Now
	The Rudiments
	Entering a Dangerous Territory
	Should We then Dump these Models?
Chapter 3: Gross Domestic Product: Basis of Growth
	Interpreting the Numbers
	Defining Across Countries
	Some Puzzles
	Story of Economic Transition
	Normative Issues
	Economic Systems
	The Mixed Economy Set-up
	Is there a Perfect System Then?
Chapter 4: Getting to Know the Government
	Rudiments of a Budget
	Number Crunching
	How Does the Government Borrow?
	The Privatization Puzzle or Muddle?
	How then can Incremental Revenue be Raised?
Chapter 5: Money, its Supply and Monetary Policy
	The Crux
	Money Supply Defined from the Credit Side
	Monetary Policy
	The Transmission Mechanism: How Does Monetary Policy Work?
	Understanding Interest Rates
	Is there a Conflict of Interest?
	How Often Must We Have the Monetary Policy?
Chapter 6: Banks and Banking
	Rewinding Banking History
	The Turning Point
	Mindset Metamorphosis
	Innovations Ahoy
	The Move to Universal Banking
	The New Fad: Micro Finance
Chapter 7: Capital Markets
	The Rudiments
	The Main Drivers
	What Drives the Share Prices Then?
	Disintermediation
	The Rise of Credit Rating Agencies
	Emergence of Derivatives
Chapter 8: Inflation
	The Twin Issues
	How to Present the Numbers?
	Is there a Benchmark?
	Why Do Central Banks Target x% Inflation?
	Control of Inflation
	Ultimately, What Must One Do?
Chapter 9: The External Sector
	The Balance of Payments
	Why Borrow from Overseas Markets?
	Rising Forex Reserves, the Trigger of Monetary Problems
	The Exchange Rate
	How Should the Exchange Rate be Moving?
	So, How Do We Evaluate the External Sector?
	Capital Account Convertibility
Chapter 10: A Breather
11. Economic Reforms
	Pre-reforms Period: A Self-enforcing Status Quo
	How Did the Change Come About?
	A Look at Reforms
	Have Reforms been a Success Story?
Chapter 12: Globalization
	What is Globalization?
	The Proliferation of Globalization
	Advantages of Globalization
	Are there Any Pitfalls?
	Back to Reality
	How to Tackle Globalization?
	The Euro: A Giant Step Ahead in Global Unification
	Has the Euro Worked?
Chapter 13: Trade Talks: WTO
	Why Protect Your Own Turf?
	How to Stop the Free Flow of Goods?
	The WTO
	The Reality
	More Problems with Discussions
	How Else to Stop Free Trade
	Where Lies the Road Ahead?
	Is Global Integration Good or Bad?
Chapter 14: Asian Crisis
	How Did it All Start?
	How the Infection Spread?
	New Ways of Thinking: Lessons Learnt
Chapter 15: Sub-prime Crisis
	The Genesis
	The Turnaround
	Enter Securitization
	The Contagion?
Chapter 16: Concluding Remarks
	Suggested Readings
Index