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Macroeconomics is that branch of economics that deals with the study of behavior and performance of aggregate economy that is the economy of the whole nation. It considers the affect on the economy due to changes in inflation, price-levels, rate of growth, national income, gross domestic product and changes in unemployment. Macroeconomic concepts are very much important to understand, analyze and evaluate the economic problems as that affects the economy as a whole.We all are depended on the economy of a nation as it provides job and business opportunities. Therefore, it is very important to understand macroeconomics because it helps to understand what makes our economy grow and what makes it decline. A growing economy creates more business opportunities and better lives for people of the nation whereas a declining economy is harmful for the nation. Macroeconomics is based on five important factors such as economic output, unemployment, inflation, savings and investment. These factors play an important role in functioning of an economy and formulation of economic policies.
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