BECC-134 · December 2025 · English
IGNOU BECC-134 December 2025 Previous Year Question Paper
PRINCIPLES OF MACRO ECONOMICS—II
Structured previous year question paper for BECC-134, December 2025 session.
Max marks: 100 · Questions: 13 · Sections: 3
Verified: 5 Aug 2026
BACHELOR OF ARTS (GENERAL)
ECONOMICS (BAG)
Term-End Examination
December, 2025
BECC-134 : PRINCIPLES OF MACRO
ECONOMICS—II
Time : 3 Hours Maximum Marks : 100
Note : Answer questions from all the Sections as
per instructions.
Section—A
Note: Answer any two questions from this
Section in about 500 words each.2x20=40
Q1.Derive LM curve. What does a point outside the LM curve mean ? Discuss the factors that determine the slope and position of the LM curve.
Q2.Distinguish between demand pull and cost push inflation. How does inflation affect the different sections of the society ?
Q3.Explain the monetary approach to exchange rate determination.
Q4.Explain how the Aggregate Demand (AD) curve is derived from IS-LM model. Why does AD curve slope downwards ?
Section—B
Note: Answer any four questions from this
Section in about 250 words each.4x12=48
Q5.What do you understand by propensity to consume ? Does it have any association with the multiplier ? Explain.
Q6.Describe the factors that influence the Aggregate Supply (AS) curve in medium run.
Q7.Explain the impact of expansionary fiscal policy on equilibrium price and output levels.
Q8.Distinguish between the following :
(a) Wholesale Price Index and Consumer Price Index
(b) Adaptive and Rational expectations
Q9.Explain the various types of exchange rate regimes.
Q10.What is meant by Balance of Payments ?
Q11.Explain its various components.
Q12.Identify the variables which are shown by the Phillips curve. Construct the short-run and long-run Phillips curve and interpret them.
Section—C
Q13.Write short notes on any two of the following :
(a) Effective demand
(b) Output gap
(c) Nominal exchange rate
(d) Absolute purchasing power parity