Part 1: Country specific - Measuring macroeconomic performance, fiscal policy, applying principles and concepts of macroeconomics, use of data to examine key macroeconomic variables. (20 marks): Page limit 6. The objective of part 1 of this research is to familiarize students with actual GDP data, the different components, database, and basic analysis to understand and interpret such data. Select any ONE Pacific Island economy and analyze its macroeconomic performance over the past 10 years. You should use the latest data available to conduct this analysis, and use THREE economic variables to analyze the economy, one of which must be Gross Domestic product. Your report should explain which variables are used, why and then use those variables, apply your economic theory and principles to analyse the economy.

Part 2: Macroeconomic indicator: Cross country comparison. (20 marks): Page limit 6. The objective of this part of the research is to provide students with the skills to analyze macroeconomic indicators across countries. While analysis of a macroeconomic indicator (example GDP) within a country is important to understand the growth path of the country, it is also important to analyze (compare) these indicators across different countries. You will compare with the country you analyzed in Part 1 (this means you will use your results in part 1 here plus do some additional work). Choose any ONE macroeconomic variable that you used in Part 1 to analyze your chosen country. Choose another Pacific Island country and compare the performance of the two economies in terms of the chosen macroeconomic variable. For example, if you select GDP, then you will compare the GDP of the two countries. Your write-up must provide sufficient comparison. You must select certain points in time and provide reasons for the differences or similarities. These points in time can be the selected years where you observe significant differences or similarities. Based on your comparison, you must provide at least THREE policy suggestions for either one of the countries.