It is estimated that the recent global outbreak of Covid-19 has caused a downturn in global GDP by 2-3%.

1.Explain the reasons of the recession using the GDP equation(Y=C+I+G+X-M)

2.Suppose the Canadian government wants to use Fiscal policy to stabilize the economy during the time of this outbreak.

3. What actions should it take in terms of In terms of Monetary Policy? Discuss how this policy work.

4. Include graphs of the Monetary policy