(Answered) Using well-labelled graphs for the is-lm ps-ws and as-ad

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Using well-labelled graphs for the IS-LM, PS-WS and AS-AD models, show the adjustments toward both the short run and medium run equilibrium under the following situations:

a) Assume economy is suffering a liquidity trap, and the European migrant crisis has made consumers pessimistic about the future. Explain whether fiscal policy and conventional monetary policy can be useful to solve the problem.

b) The government introduces a new paid-paternal leave scheme.

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