I would like to know the answers for this questions and the explanation on how to get them

[TOPIC 7: Devaluation Scare] El Consider the initial Long-Run situation with the following features: [BOX 0] v P: P"=1. i' = S(%). . Emmi = E' = ELI , where Emis determined by the PPP condition, v The initial lSo curve is a straight line as shown in the [FIGURE], and its slope (-1) is preserved when it shifts. o l depends negatively on i. o C depends on the disposable income (=Y-Tl, and MPC is 0.75. ~ MD = (Y - i) +10, ME = 10 .. The initial LM curves is drawn in the [FIGURE]. . Note: iand i' are already in '16 terms. (e.g.. 5 not 0.05). . Therefore. the UIP condition should be: i = i' + 100'(E','E -1). E. QD. Illustrate the initial LR eq'rn in the FX market on the right panel (Draw DR: and FRo). us; ls. l m: s . 1w(E'-E)IE (with E'=1l .0- 2 [01-03] In the initial LR eq'ln \"0". suppose investors get to expect depreciation of the home currency by 396 (i.e., E' rises to 1.03). Q1. Due to this change in expectation: a) The IS curve shifts _ from the initial \"to. 02. [Case A: Floating ERs] Suppose that the size of the shift in the IS curve (in Q1-a) Is 1. Fill in the table for the new SR eq'm "A". Explain the change in E. -_-I- Y inc VA = 5.5 QB. [Case B: Fixed ERs] Again suppose that the shift in the IS curve (in Q1-a) is 1, and that the home currency is pegged at E0. Fill in the table for the new SR eq'm \"B". Explain the changes in I and Y. inc/declinva riant Yrs II in Era