in this video we're going to look at
two things, one is basically
around macroeconomics
what is the meaning of macroeconomics
and the second is
what is the scope of microeconomics. The
word macro
is basically derived from a Greek word
called MaKros and what maKros means is
Large, so the scope of macroeconomics
is basically to deal with things in
aggregate or totallity if I may call it 
to like in case of an individual
when you study Micro economics you study
the behavior of an individual
how he consumes, how his demand for an
individual products has changed
when we deal in macroeconomics we deal with
Large things aggregate things total things
and in macroeconomics what we study
are certain variables which I will take
one by one
the first one being the aggregate
investment
now what does this mean we know that there are various
producers in an economy
right so all these producers
do make a lot of expenditure right
and all that expenditure for all the
producers taken together
which add to their stock of capital
amounts to the aggregate investment
the second is the aggregate supply
and demand
this again adds up to whatever is the
total  demand or total supply
in an economy so we're not looking at
individuals over here what we're looking
at is
the entire demand or supply in
the economy
the general price level well it is
increasing
or reducing the domestic income
domestic income is again something which
is
specific to a particular economy so
let's say when we talk about India
the domestic income would mean whatever
is the income
earned by members have earned within the geographical boundaries within India 
of course there are certain variables to it which I would study the details
separately but just to understand it
took larger level
and then you have aggregate consumption
which is
nothing but the consumption of all the
goods
and services in an economy
right so here if you look at it what
we're looking at is more from the
perspective of a country or an economy
and not
from an individual perspective and
that's where
this is known as macroeconomics a large
number
the aggregate in the country on an
economy and not
a single person so what is it
that we study in macroeconomics of course these are some other variables
which we discussed which we study at the
large level
but what exactly is it that you study as
a part of macroeconomics
and that brings us to the scope of
macroeconomics
so what do you study as a part of
macroeconomics
are these six  broadly there may be some other variables as well 
 the first one is the concept
and measurement of national income
So what does national income mean
is it just a simple sum total of all income of all the people
or is it more so what is covered in
national income
the concept of national income and how
do you measure it
is something which has come in as a part
of macroeconomics
determination of income
and employment so how do we achieve
or how do you calculate what is
employment meant
for the country's perspective when the
people are
underemployed when they are over employed 
or is this some kind of a disguised
unemployment all these concepts
we will study as a part of
macroeconomics
money and banking when the banking
system of the country all about
there is normally a central bank in the
country and there are various
private and public banks .. What is money 
what is the form of money ?  Paper money 
plastic money
what are the availability of money what
is the government budget
every country has its own government
right,  how does the government does its
budgeting
what are the factors which are considered
what is the impact of all this on the
economy then the determination of
foreign exchange rates
so every country has its own currency so
let's say in India your have rupee
as our currency ?  how does the worth
of rupee
determined vis a vis a US Dollar ?
so how many Rupees so let's say for
example currently its raning in the range of Rs. 60-65 
right
great could be six to sixty fame is
equal to one US Dollar
homes this rate determination done between
the currencires of various countries
and the last one is balance of payment
so every country
imports things
which means it buys things from other
countries
and it sells or exports
things to other country balance of
payment basically means
whether so lets say I earn hundred rupees
and I spent eighty
I have earned a net of Rs. 20 
balance of payment basically refers to
whether you are
positive in so far is balance of
payment is concerned
or negative..  all these form part of
macroeconomics which will be studying as a part of
this detailed 
syllabus I hope you would have got
a good idea around macroeconomics at
this point in time
we will be covering the entire scope and
videos through
detailed version later  thank you
for being with us today
