1.(50 points)Supposethatthegovernmentwantstoincreasetheinvestment,andis considering two tax policies to accomplish this goal.Under the first tax policy, in the current period firms would receive a subsidy of t per unit of output produced. Under thesecondpolicy,firmswouldreceiveasubsidyof s perunitofinvestmentinthe current period.Determine which tax policy would be more effective in accomplishing the government's goal of increasing current investment expenditures.Also, analyze the effects of these policieson the output produced,employment,consumption,real interest rate and wage.