Section A
Q1. Answer the following questions in about 100 words each :
(a) Trace the role of Quesnay in the formulation of intersectoral flows in an economy as it stands today.
(b) "Inflation is always and everywhere a monetary phenomenon." Explain briefly the arguments of Friedman.
(c) Briefly explain Rosenstein-Rodan's Big Push theory.
(d) Specify the sources of gains from trade when production is characterised by increasing cost conditions.
(e) Differentiate among fixed, freely floating and managed floating exchange rates.
(f) Trace the major developments in the various rounds of negotiations from GATT to WTO.