Consider an economy with the following characteristics (all variables measured in billions of dollars). C = 40 + 0.6Yd 10.5 1 15 G - 20 X - 5 M= Q.IY Where Yd is disposable income and t is the income tax rate. (a) Calculate the equilibrium GDP. (b) At the equilibrium GDP, calculate the fiscal balance. (c) If the full employment GDP is $80 billion, is the economy experiencing a recessionary or inflationary gap? Explain your answer. (d) If the government wants to close the gap, should government increase or decrease expenditure? By how much