Econ-112                            Introduction to Macroeconomics                         Worksheet #5

1.  a.)  In what ways might government spending affect the supply-side of the economy,

specifically long-run AS?

b.)  In what ways might government tax policy affect the supply-side of the economy, specifically long-run AS?

c.)  In what ways might government borrowing affect the supply-side of the economy, specifically long-run AS?