How did the Keynesian perspective address the issue of the Great Depression of the late 1920s and early 1930s? How did it differ from earlier economic explanations?
What does “wage and price stickiness” mean? What is its significance in Keynesian analysis?
Briefly discuss the aggregate supply curve in the neoclassical model, including how the curve is drawn, what it determines, and how it operates over time.
Explain what the neoclassical perspective on macroeconomics emphasizes Does acceptance of this approach imply that the Keynesian approach is wrong?
Why does productivity growth in high-income economies not slow down as it runs into diminishing returns from additional investments in physical capital and human capital? Does this show one area where the theory of diminishing returns fails to apply? Why or why not?
