CITE ALL SOURCES APA PART A Compare and contrast the use of government spending changes versus tax changes as a means of influencing the course of the economy. Is one or the other preferable in specific situations?Imagine for a moment that you have two roommates, who each have opposing viewpoints on nearly everything, including politics and economics. Taylor is adamant that the best way to manage the economy is through tax changes, while Morgan insists that it's better to adjust the economy through government spending. What would a Neoclassical economist say? What would a Keynesian economist say?Which roommate do you agree with, and why? Find a news article to help support your opinion. Summarize the article and include the link to in your response.

PART B

The ADAS model can be used to analyze the effects of fiscal policy, including changes in government spending or taxes. Suppose Congress votes to decrease corporate income tax rates. Use the AD/AS model to analyze the likely impact ofthe tax cuts on the macroeconomy. Show graphically and explain your reasoning. What exactly causes AD and/or A5 to shift? What happens to GDP and the aggregate price level? Why? Rubric Criteria Not Evident Developing Procient Distinguished Weight 4 Explain the Keynesian perspective on tax cuts and show graphically. Explain the Neoclassical Perspective on tax cuts and show graphically. 4 Explain the effect of tax cuts on GDP. Show graphically. 4 Explain the effect of tax cuts on the price level. Show graphically. 4 Write up your analysis using correct language, explaining all your work. 4 Total: 20