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Question 1:
(a) Describe what is Economic growth and describe its relationship with standard of living?
(b) Assuming you are the government economist, what policy measures you are likely to take in promoting economic growth in Mauritius?
Question 2:
(a) What do you meant by Fiscal Policy? Also explain the instruments of Fiscal Policy
Question 3:
(b) How is the operation of fiscal policy supposed to affect the level of economic activity within an economy?
Question 4:
(a) Distinguish carefully between public and merit goods, highlighting the characteristics and examples to support your arguments.
(b) Why can the provision of such goods not be left entirely to the private enterprise?
Question 5:
(a) Define inflation and show why governments are concerned to keep the rate of inflation at a low level (3% - 3.5%)?
(b) Determine the role and functions of the Central Bank of Mauritius and how does it intervene in the market to ensure economic stability?
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