1.Explain the costs and benefits of economic growth.

2. List the four fundamental determinants of growth in real GDP.

3.List the main elements of Neoclassical growth theory.

4.Describe the new growth theories based on endogenous technical change and increasing returns.

5.Explain why resource exhaustion provides society with incentives for technological improvements.

6. Explain the various functions of money, and how money has evolved over time.

7.Show that modern banking systems include both privately owned commercial banks and government-owned central banks.

8.Explain how commercial banks create money through the process of taking deposits and making loans.

9.List what is included in the various measures of the money supply.

10. Describe how the government budget surplus is related to national income.

11. Distinguish between the marginal propensity to consume and the marginal propensity to spend.

12. Explain how net exports are related to national income.

13. Explain why the presence of government and foreign trade reduces the value of the simple multiplier.

14. Explain how government can use fiscal policy to influence the level of national income