1. What is the current condition of the US economy? Is it at full employment equilibrium or currently below the natural equilibrium point? Draw the AS, AD, and LRAS graph to show where the macroeconomy currently exists.

2. What are the monetary and fiscal policies that the Fed and Congress should engage in based on the conditions in the US economy? Draw the graph to show what would happen based on policy changes.

3. Why would these policies benefit the US economy? What are the potential negatives of your policy proposals?