problem1. describe and evaluate the rational expectations theory.
problem2. What is the major argument of the supply side economists in relation to taxation policy? How is it different from that of Keynes?
problem3. describe the Barro-Ricardo Equivalence Proposition.
problem4. Describe the real business cycle theory.
problem5. Using suitable diagrams make a distinction between inflationary and deflationary gaps.
problem6. Make a distinction between the Life-cycle theory and Permanent income theory of consumption and saving.