I need answers

Compare the following terms: current Account and Capital Account Fixed and Flexible Exchange Rates Nominal and Real Exchange Rates Clean Float and Managed Float Devaluation and Depreciation Spending by domestic residents and Spending on domestic goods Internal Balance and Extemal Balance Read the following case study: The Asian Development Bank (ADB) has wanted that a BoP crisis is imminent in Pakistan. if its economy grows more than 3.8% annually without xing economic imbalances. Pakistan will have to x its exports and reduce dependency on imports to avoid the next balance of payments crisis. \"In the current structural and product specialization circumstances. if Pakistan's economy is to grow faster than 3.8% in the medium-term. external imbalances will occur," the report warned. The ADB paper noted that since end-2017. the government has implemented a number of economic reforms to address the BOP crisis. including regulatory measures. reduced imports. increased interest rates. and allowed depreciation of the exchange rate to the US dollar by almost 3396. Despite signicant currency depreciation. merchandise exports did not pick up significantly and Pakistan's total debt and liabilities have risen sharply. On average. over the last decade. Pakistan had lost global market share with foreign exchange reserves declining. According to latest quarterly report by SBP. Pakistan's BoP is showing signs of stabilizing in Ql-FY202l as the country contained the initial domestic spread of Covid-l9 and economic activities resumed from July onwards helped by a significant expansionary monetary and scal policy. Consequently. imports have started to pick up. The signicant reduction in global oil prices played a major role in curtailing energy and overall import payments and alleviating some pressures from lower export receipts in first quarter of 2020. Workers' remittances. on the other hand. proved to be instrumental in generating the rst quarterly current account surplus in more than five years. as inows reached a record high. The resulting improvement in the current account led to increased foreign exchange liquidity in the interbank market and was reected in a build-up in the country's foreign exchange reserves and an appreciation in the Palt Rupee. Yet the BoP situation is still very fragile. According to the ADB paper. \"Improving Pakistan's export performance remains the most relevant long-term structural challenge to alleviate the balance-of-payments constraint to sustained economic growth\". 0 Using lS-LM framework explain how come economic growth of 3.8% can cause BoP crises in Pakistan? 0 Using MundellFleming model. comment whether or not monetary policy of \"increased interest rates. and allowing depreciation of PAK rupee" for reducing imports and improving competitiveness was a good policy? Also comment what needs to be done to address the BoP imbalance in the ion run