The teaching of Economics in business schools is constrained by two major factors. First, most Economists who take up teaching are trained in traditional Economics. They are unable to integrate economics with various functional areas of Management Science. Though Economics is naturally the most integrotive principle between various functional areas of Management, Management theorists have found Economics too abstract to be useful. At the same time, economists have always tried to run down the case study approach as one lacking in rigour and generality. This book is an attempt to bridge this great divide. It deals with various features of Macro Economics including output, prices, interest rates, exchange rates, balance of payments and other related macroeconomic variables. All these tools are then integrated together in the last chapter which helps the student, Managers and Executives to see the Economy as a whole.
