MACROECONOMICS

1. Distinguish crowding out and crowding in.

2. How do automatic stabilizers differ from discretionary fiscal policy tools?

3. It is often said that we are passing our national debt on to our children and grandchildren. Is this true? Explain.

4. What problems are associated with the U.S. federal budget process? What solutions have have been offered to these problems?

5. In what ways can fiscal policy affect aggregate supply?

Your response should be at least 75 words in lentgh. You are required to use at least your textbook as source material for your response. All sources used, including textook, must be referenced; paraphrased and quoted material must have accompanying citations.