handouts & visuals especially helpful

• Factors explaining downward slope of AD Curve
   Interest Rate Effect, Wealth (Real Balances) Effect,
   Foreign Purchases Effect (activity #23)

• Be able to graph Recessionary & Inflationary gaps 
  in both AS/AD & Keynesian models

• Different Ranges of AS Curve & accompanying 
  economic conditions (activity #17)

• Fiscal Policy:  2 Types  (activity #30)
  1.  Taxing
  2.  Spending         (or a combination of the two)

• relationship of LRAS & PPC (activity #29)

• Expansionary Fiscal Policy (vis. 3.14 & vis. 3.15)
  & its effect on the budget

• Demand & supply shocks & their impact on economy
  (activity #27)

• Contractionary Fiscal Policy (vis. 3.16 & vis. 3.17)
  & its effect on the budget

• Explain why Wages & Prices downwardly inflexible 
  according to Keynesians (activity #21)

• Discretionary & Automatic Fiscal Policy
  (activity #31)

• Which theory wants Economics to intervene to help 
  "correct" the economy?

• Balanced Budget Multiplier

• MPC & MPS  What do they signify? 
  What is their relationship to Disposable Income?
  (activity #20)

• Rational Expectations Approach

• Simplified (spending) Multiplier  (activity #21)
  How is it determined and what is its effect?

• Monetarism

• Recessionary Gaps (vis. 3.12) &
  Inflationary Gaps (vis. 3.13)

• Supply Side Economics