https://theconversation.com/grattan-on-friday-should-anthony-albanese-keep-his-word-on-the-stage-3-tax-cuts-189790

Question 4 Read this article from the conversation (click on the link): Grattan on Friday: Should Anthony Albanese keep his word on the stage 3 tax cuts? The equilibrium of the goods market is given by: Y=C+I+G Consider the following behavioural equations: C=C0+C1YD T=tg+tly YD=YT. Here, G and I are constant. Assume a closed economy and that D U, and to > 0. Based on the article from the conversation, if the stage-3 tax cut becomes effective, ceteris paribus, answer the following questions. (a) How does it affect parameters co, cl, to, and if? (b) How does it affect T, YD, Y and C? (c) , Would the economy (Y) then respond more or less to changes in au tonomous spending? Explain. (d) Based on your answer in part (c), how the effectiveness of the automatic stabiliser is affected by the stage-3 tax cut