Choose five (5) of the following six (6) statements and explain why you agree, disagree, or are uncertain about the statement. Your answer will be evaluated according to how clearly and comprehensively you defend your answer with economic analysis and reasoning. Graphical analysis is recommended but not absolutely required.

1."Relatively small changes in autonomous spending can cause relatively large swings (up or down) in the level of national production and income."

2."Improving productivity and long run economic growth requires more not less government intervention in the economy."

3."There are serious limitations to Keynesian fiscal policy successfully counteracting a recession."

4."There are serious limitations to supply-side fiscal policy improving productive capability and creating economic growth."

5."A tax cut will provide more stimulus to economic growth than an equal increase in government spending."

6."An increase in government purchases will not change total production because consumption and investment spending will decrease and offset the stimulus effect of the increased government spending"