1) What do you mean by Kuznet's hypothesis? Write down its implications for developing economy?
(b) Describe Leontief paradox in detail.
(c) Is Wagner hypothesis a sufficient description of increase in public expenditure in recent times? Describe in detail.
(d) What do you mean by by tax buoyancy and elasticity of tax revenue?
2) What do you mean by a Customs' Union? Describe effects of a Customs' Union formation under partial equilibrium conditions.
3) Main theories of growth namely, Classical, Marxian, Keynesian and Schumpeterian, all predict crisis in later stages of capitalist development. Describe and write down suitable reasons for the answer.
4) Write down the major features of Neoclassical growth theory? Describe them with the help of Solow's growth model in detail.