This document discusses nested macros in system programming. It defines a macro as a unit of program specification that allows code expansion. A macro can contain a call to another macro, known as a nested macro call. Nested macro calls are expanded following the LIFO (last-in-first-out) rule, where the innermost macro call is expanded first. The document provides an example of a nested macro call in C code and how the macros would expand to generate the final code.