Inflation causes and responses

Inflation causes and responses

Bachelor of Business Studies (BBS) — Second Year

Subject: Macroeconomics for Business (MGT 209)

Unit 6: Inflation and Business Cycles

Academic Year: 2083/84

Topic Objectives

After studying this topic, students should be able to:

• Explain the scope and key elements of inflation causes and responses.
• Explain the economic model or issue, identify its assumptions and interpret the relevant diagrams, calculations or dated evidence.

Curriculum Scope

• Demand-pull and cost-push inflation
• Effects
• Anti-inflation measures

Detailed Microsyllabus

1. Inflation causes

   1. Demand-pull pressures.
   2. Cost-push pressures and supply shocks.
   3. Interaction of expectations and economic conditions.

2. Effects and responses

   1. Purchasing power, income distribution and business planning.
   2. Monetary, fiscal and supply-related responses.
   3. Evaluate trade-offs rather than assume one universal remedy.

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Curriculum reference: Tribhuvan University, Faculty of Management, revised four-year BBS curriculum, PDF pages 24-26.

Source note: The curriculum scope above is retained from the existing TU syllabus breakdown. The numbered study subtopics are editorial elaborations for teaching and study, rather than a separately issued TU syllabus. Unit or component allocations apply at their stated level; no separate topic hours or marks are assigned here. Nepalese current-status discussions should identify the reporting period and use dated official publications, such as Nepal Rastra Bank reports, rather than undated figures.