(1) (2) Critique the following quote: "Higher interest rates lower equilibrium real GDP and thus slow the rate of economic growth." Typically, the Fed targets the fed funds rate. Assume that the Fed is operating the usual way, targeting a specic fed funds value when the rate of economic growth begins to slow. Outline: (i) the actions the Fed would have to take to sustain its current interest rate target; (ii) the likely impact those actions will have on the rate of economic growth; and (iii) how the yield curve could be expected to change as the result of this event. (Hint: Use the money demand money supply model as the basis for this)