4) Explain the differences between typical demand side fiscal policy and supply side fiscal policy. For each of the following fiscal policy proposals, determine whether the primary focus is on aggregate demand or aggregate supply or both. a. A $1000 per person tax reduction. b. A 5% reduction in all tax rates. c. Pell grants, which are government subsidies for college education. d. Government sponsored prizes for new scientific discovery. e. An increase in unemployment compensation.

4) Explain the differences between typical demand side fiscal policy and supply side fiscal policy. For each of the following fiscal policy proposals, determine whether the primary focus is on aggregate demand or aggregate supply or both.
a. A $1000 per person tax reduction.
b. A 5% reduction in all tax rates.
c. Pell grants, which are government subsidies for college education.
d. Government sponsored prizes for new scientific discovery.
e. An increase in unemployment compensation.

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