16.Can velocity affect total spending in the economy? If so, explain how. 17.According to the exchange equation, the price level is a function of M, V and Y. Do you agree or disagree? Explain your answer. 18. Expansionary monetary policy is ineffective at changing Y in the classical model. Do you agree or disagree with this statement? Explain and diagrammatically represent your answer. 19. What is contractionary monetary policy? expansionary monetary policy? 20.What is contractionary fiscal policy? expansionary fiscal policy? 21. Explain how each of the following will change the interest rate in the classical loanable funds market: a. a rise in the size of the deficit16.Can velocity affect total spending in the economy? If so, explain how. 17.According to the exchange equation, the price level is a function of M, V and Y. Do you agree or disagree? Explain your answer. 18. Expansionary monetary policy is ineffective at changing Y in the classical model. Do you agree or disagree with this statement? Explain and diagrammatically represent your answer. 19. What is contractionary monetary policy? expansionary monetary policy? 20.What is contractionary fiscal policy? expansionary fiscal policy? 21. Explain how each of the following will change the interest rate in the classical loanable funds market: a. a rise in the size of the deficit