Perform a model analysis using the IS-LM model. Using the IS-LM model, illustrate and discuss the impact of the Asian Financial Crisis on interest rates and economic activity (and thus the unemployment rate). Remember to explain any changes you have made to the curves and/or any shift(s) you have undertaken.

Consider the impact on interest rates and economic activity demonstrated in the IS-LM model, outline the policy advice you would have given to the government under these circumstances. Include in the discussion how the slopes of the curves may affect your policy advise and the long-run impact of this policy action.