Consider the following Mundell-Fleming short-run model of an open economy under floating exchange rates given in equations (1)-(9). Assume there is perfect capital mobility so that the domestic interest rate equals the world interest rate, i.e., r=r. The nominal exchange rate is denoted by e. (1) C=120+0.8(YT) (2) I=20030r (4) G=244 (5) T=100 (6) NX=22050(P/P)e (7) PE=C+I+G+NX (7) Y=C+I+G+NX Goods market equilibrium (8) FMd=2Y40r (9) PMd=PM3 Monfey market equilibrium Suppose that the central bank sets the nominal money supply M5=2000 and that P=2. Also suppose that the foreign price P=1 while the world interest rate r=6. 13. The equilibrium output level in this economy eeq is given by A) Ye9=1620 B) Yeq=1120 C) Yeq=620 D) Ye9=370 14. The equilibrium exchange rate eq is given by: A) eeeq=2 and we have a trade surplus B) eeq=3.5 and we have a trade deficit C) ee4=4 and we have a trade deficit D) eeq=4.5 and we have a trade deficit