Q1. 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.
Q2. Discuss whether the Federal Reserve can control both the money supply and interest rates in the United States simultaneously.
Q3. Compare and contrast the concepts of active and passive stabilization.
Q4. Define and distinguish debt and deficits.
Q5. Compare and contrast the economic effects of increasing spending versus reducing taxes.