2. As part of its response to the COVID-19 jmpact on the US economy, the Federal Reserve sharply decreased the federal funds rate in March of 2020 from 1.75% to 0.25%. a. What stage of the business cycle - recession or expansion - was expected to follow from the COVID-19 crisis in early-2020? What changes to employment and inflation would have been worrisome to the Federal Reserve? b. List the steps in the monetary policy transmission mechanism that were. expected to follow from the lower federal funds rate. c. In general, do you think that aggregate spending/demand would be sensitive to changes in interest rates during a recession? Why or why not? Would the policy from part b be more or. less effective as a result? d. In general, do you think that the average marginal propensity to consume is high or low during a recession? Why or why not? Would the policy from part b be more or less effective as a result