1)     If GDP is below Potential GDP by $200 million, what can the government do to restore equilibrium?

2)      As per Neoclassical theory what can stimulate the progress of the economy?

3)     When given the Aggregate demand and the Aggregate supply, which one shift and by how much in the short run?

4)      If an economy is at potential GDP, and it intends to grow, then as per Neoclassical theory what factor can increase the economy’s output.

5)     According to Neoclassical theory, why a tax cut will not shift the AD curve?

6)      Know an example of rational expectations.

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