Consider an open economy [home country} trading with the rest of the world [foreign country} in goods, services, and assets, taking the foreign interest rate 1"\" and price level P\" as given. The central bank of this economy targets the domestic nominal int er- est rate, 1', while allowing free international capital mobility and oating exchange rate E [the price of foreign currency in units of home currency}. Assume that the nominal prices of goo ds are xed P = P\" = 1 and the expected future exchange rate Ea = 1 in the short run, and the economic relations of home country are characterised by the following equations. aggregate consumption demand, C = 5 + 0.807 T), aggregate investment demand, I = 3 151', government expenditure, G, taxes on domestic residents, T, aggregate exports, EX = 2 + 5 (1 f) , aggregate imports, Il'vl = 0.2(Y T), aggregate demand, D = 15 + G + 0.5[Y T) 151' 5 (%), aggregate demand for real balances, LG] 1' = (#1) Y, aggregate real money supply, % = M. Assume that i\" = 4%,1': 8%, and G = T = 10. Use the information and the IS-LM-FX model to determine the short run equilibrium values of E, Y, and NX. [Round your answers to two decimal places.) Nominal exchange rate, E- Suppose now that the home country changes its government spending and taxes to G = T = 8. Determine the new short-run equilibrium values of Y and NX. [Round your answers to two decimal places. The new aggregate output, Y The new net exports, NX