Question 1: Define the Quantity of Money theory and identify whether this is a Keynesian or Classical cornerstone. Describe what happens when, according to this theory, the money supply is increased.
Question 2: Discuss whether the Federal Reserve can control both the money supply and interest rates in the United States simultaneously.
Question 3: Compare and contrast the concepts of active and passive stabilization.
Question 4: Define and distinguish debt and deficits.
Question 5: Compare and contrast the economic effects of increasing spending versus reducing taxes.