Draw relevant graphs, answer in complete detail with the help of the data tables. Q1. What is the theoretical significance of the Adaptive and Rational expectation hypothesis? Explain with the help of the Phillips Curve, the effectiveness of policy actions when expectation formation is known. Examine the role of this for Reagan administration's success Explain in detail Q2. Compare the behavior of US macro-economy in 1970s, 1980s and 1990s Explain the decisions of demand management policy makers in the light of theoretical developments in these decades. How do you reconcile the development of theory and policy making in these years? Be thorough and answer in detail. Q3. Review the working of US Monetary Policy with the help of monetary theory of the times involved. How do you clarify the behavior of policy makers (Federal Reserve System) and theoretical developments of macroeconomics? Explain in detail. Q4. What is the original Phillips curve? How is it modified in modern times? How did it help the policy making in 1960s and 1970s? Explain the view of neo-Keynesians on the Phillips curve in those days. Be thorough Q5: What is the Natural Rate hypothesis? How does it prove the vertical shape of the Phillips curve? Explain the view of monetarists on policy making with the help of Phillips curve in 1960s and 1970s. Be thorough and answer clearly