5. (15 points) Suppose that an economy has a constant nominal money supply, a constant level of real output Y = 1500, and a constant real interest rate r = 0.05, and it's expected rate of ination is 2%, Le, e = .02. Suppose that the income elasticity of money demand is as: 0.5 and the interest elasticity of demand I]: = 0.2. (a) Suppose that Y decreases to 1425, 1' remains constant at 0.05 and there is no change in the expected rate of ination. What is the percentage change in the equilibrium price level? (b) Suppose that r increases to 0.06 and Y remains at 1500. Assuming that expected ination remains at rte = .02, what is the percentage change in the equilibrium price level? (c) Suppose that r increases to 0.06. Assuming that :rc'3 = .02, what would real output have to be for the equilibrium price level to remain at its initial value