1) What have been the major sources of disruption over the
past several years?
2) From an Aggregate Demand and Supply perspective, does it
matter which programs are adopted? Which programs do you recommend should be
adopted? Should subsidies and tax breaks to business (corporate welfare to
agriculture, forestry, export promotion, research and development, removal of
dividends tax etc. ) be the focus or should subsidies go to individuals
(subsidies to education, social security, unemployment insurance, aid to
families with dependent children, Medicare etc.) ? How will the programs
proposed affect future growth possibilities for the economy (how will they
effect the PPF and long run aggregate supply)?
3) How will the programs affect the debt? How will they
affect private investment? Is crowding out a concern in the short versus long
run as a result of the proposed policies? How will the different proposals
affect the income distribution? How will they effect consumer confidence and
spending?
4) Please discuss the incomes and expenditures in terms of
the Keynesian model. You can agree and/or disagree with the Keynesian
assumptions.
