Assuming the Government of Ooopsieland wanted to increase GDP

growth.

a.

Name 2 ways they could achieve this, explaining how spending/investing in

these two options will increase GDP.

b.

If the government of Ooopsiland decides to raise money for the programs

you've mentioned above by printing money -

explain the effect of this on the

economy in terms of:

i.

The price level

ii.

The nominal interest rate

iii.

The real interest rate

iv.

Potential costs to society