Now suppose the money supply model reflects an economy in which, at a given price level, the narrowly defined money supply (M1) in existence is $22,550 million, the cash reserve ratio against demand deposits (r_D) is 10%, the cash reserve ratio against term deposits (r_T) is 3%, the term deposit ratio (t) is 90%, the currency/deposit ratio (c) is 25%, the idle excess reserves/deposit ratios for demand (e_D) and term deposits (e_T) are equal to 2% and 1% respectively.

If this economy faces serious inflationary pressures and this causes the monetary authorities to implement a monetary and fiscal policy package that results in a decrease in the monetary base by 30% whilst the currency/deposit ratio increases by only 15%, because of an increase in taxes; (a). Other things being equal, calculate the percentage changes in the equilibrium values of M1, M2, C, and (BCR_T), and under specified assumptions, illustrate and explain the effects of the total policy package on the equilibrium level of the broad money supply (M2).