As a modern textbook on macroeconomics, this book thoroughly reviews the existing theories and models on different aspects of macroeconomy. The book attempts to relate abstract theories with their applied aspects. The distinguishing feature of the book is that it has been written largely in the context of Indian macroeconomy with sufficient number of illustrations and empirical evidence. This contrasts glaringly with most textbooks on macroeconomics which have been written chiefly in the context of western developed economies like the US and UK. One of the novel features of the book is the inclusion of a specific chapter on Recent Global Recession and Debt Crisis of Euro-zone countries and their impact on other economies of the world. Mathematical techniques have been suitably supplemented with diagrammatic presentations wherever essential and their hidden ideas have been explained as clearly as possible. However, a certain amount of basic mathematical knowledge is expected from readers to help them better grasp these ideas. The book is intended for primarily undergraduate honours and postgraduate student as also those pursuing management courses. Contents: National income analysis Classical macroeconomics Keynesian macroeconomics The IS-LM system Aggregate demand and aggregate supply: a new model Theory of demand for money: post Keynesian development The supply of money and the banking system Modern macroeconomics: fiscal policy Modern macroeconomic monetary policy Inflation Macro theories of consumption savings Macroeconomics: open economy The global recession, 2008