Macroeconomic theory has its origins in the study of business cycles and monetary the- ory. Macroeconomists study aggregated in- dicators such as GDP, unemployment rates, and price indices to understand how the whole economy functions. In contrast, micro- economics is primarily focused on the actions of individual agents, such as firms and con- sumers, and how their behaviour determines prices and quantities in specific markets. The book seeks to give students a thorough un- derstanding of some fundamental facts in macroeconomics and to introduce them to methods of formal macroeconomics analysis, without requiring too many technical skills.
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