4. Suppose that we are currently in a period of recession and there is a recessionary gap of $10 billion. What kind of policy should the Congress use? What kind of policy should the Fed use? What might happen if both Congress and the Fed uses the policies at the same time without consulation with one another? 5. Suppose that the U.S. economy is going through expansion. If the Congress then enacts expansionary fiscal policy, what would happen in the economy? What can the Federal Reserve System do to counter some of negative effects of the expansionary fiscal policy? In addition to your explanation, make sure you draw some graphs to illustrate your reasoning.6. Consider the data in the following table (where the values for real GDP are in billions of 2009 dollars): SRAS 2009 Real GDP Year (billions of 2009 5) GDP Deator 8 2009 14,419 100 '17 2010 14,734 101 2011 15,021 103 f. 2012 15,355 105 1% 2013 15,612 107 \"g 2014 16,013 109 g 2015 16,472 110 0 2016 16,716 111 3 0n the AD-AS graph, show how the economy moved from g 2009 to 2016 by graphing both new AD and new SRAS curves. 5 214.4 mm\" 1.) Graph the AD curve for 2016 that is consistent with the Real GDP (trillions of 2009 dollars) data in the table showing what happened in the economy. Label your line AD2016. 2.) Graph the SRAS curve for 2016 that is consistent with the data in the table showing what happened in the economy. Label your line SRA82016. 3.) Plot the new short-run equilibrium point. Label your point 92016- In which direction did the economy move from 2009 to 2016? Offer an explanation which would account for the pattern in this data. 7. If the Congress wants to increase the AD by $5 billion, how much should they increase the government spending? (by $5B?; less than $5B?; more than $5B?) Explain uing your understanding of multiplier effect and the subsequent crowding out effect