Fig. 1.1 Production Possibility Curve 4
Fig. 2.1 Circular Flow of Income 29
Fig. 3.1 Edgeworth’s Box Diagram for India 65
Fig. 5.1 Keynesian Consumption Function 100
Fig. 5.2 Consumption-Saving Decisions 102
Fig. 5.3 Life Cycle Theory Consumption Function 103
Fig. 6.1 Investment Schedule/Curve 124
Fig. 7.1 Laffer Curve 131
Fig. 7.2 Tariffs Vs. Quotas 137
Fig. 7.3 Export-Import Function 140
Fig. 7.4 The J-Curve 142
Fig. 7.5 BOP Theory of Forex Rate 151
Fig 8.1 Classical Money Demand Function 162
Fig. 8.2 Interest Sensitiveness of Money Demand 164
Fig. 8.3 Cost of Cash Holdings 166
Fig. 9.1 Production Function 191
Fig. 9.2 Factors’ Demand Curves 193
Fig. 9.3 Factors’ Supply Curves 196
Fig. 9.4 Labour Market Equilibrium 198
Fig. 9.5 Labour Market under Fixed Nominal Wage Rate 199
Fig. 9.6 AS Curve under Wage-Price Flexibility 201
Fig. 9.7 AS Curve under Fixed Price 203
Fig. 9.8 AS Curve under Nominal Wage Rigidity 204
Fig. 9.9 Short and Long Run AS Curves 207
Fig. 9.10 Phillips Curve 212
Fig. 10.1 Real GDP 225
Fig. 10.2 Real GDP Growth Rates 226
Fig 11.1 AD-AS Curves in the Classical Model 246
Fig. 11.2 Keynesian Cross Model 251
Fig 11.3 AD-AS curves in the Keynesian Cross Model 255
Fig. 11.4 Derivation of the IS Curve 261
Fig. 11.5 Derivation of the LM Curve 262
Fig. 11.6 IS-LM Model 263
Fig. 11.7 Roles of Stabilisation Policies 266
Fig. 12.1 Derivation of AD Curve 279
Fig. 12.2 AD-AS Curves Under Flexible Price 283
Fig. 12.3 Effects of Changes in Autonomous Expenditure (A0) 284
Fig. 12.4 Effects of Changes in Money Supply (M ) 285
Fig. 12.5 Effects of Changes in Technology/Factor Prices 286
Fig. 12.6 Phillips’ Curve 287
Fig. 12.7 Supply Shock and AD-AS Curves 297
Fig. 13.1 Workers’ Fooling Model 310
Fig. 13.2 Phillip’s Curve under the “Fooling Model” 311
Fig. 13.3 Adverse Supply Shock 318
Fig. 14.1 Demand-Pull Inflation 347
Fig. 14.2 Cost-Push Inflation 348
Fig. 15.1 Production Possibility Curves 368
Fig. 15.2 Growth in Per Capita Output 372
Fig. 15.3 Steady State Position 375