7. Distinguish between direct (prohibition), indirect pollution controls (e.g. carbon taxes) and
market mechanisms (e.g. cap and trade). Why would the business class prefer cap and
trade?
8. Contrast GDP with the Genuine Process Indicators (GPI) consider-pollution, the depletion
of natural resources, crime and income distribution in your answer. Contrast GDP and GPI
growth rates
9. The World Economic Forum rankings suggest that high tax and spend countries are the
most competitive in the world. How would crowding-in help to explain this. Discuss Norway
and Alberta using the same framework.
10. Why does the left think the Canadian and US governments has used right-wing policy for
the past four decades in order to boost profits? Include crowding-out and crowding-in,
monetary policy, fiscal policy, deficit and debts, regulation, the natural rate of
employment, GDP growth, trade and inflation.