PLEASE ANSWER THE FOLLOWING QUESTION AND 1-5 OF THIS QUESTION WITH A DETAILED ANSWER. THANK YOU, ANSWER REQUIRED ASAP:

During the COVID-19 pandemic, Country X put in place fiscal support to cushion its citizens from adverse economic impacts arising from government-imposed restrictions and voluntary personal decisions. Research has found out that the fiscal stimulus boosted the consumption of goods with little impact on production.

Country X is also facing the economic impacts of both Ukraine-Russia conflict and high oil prices for its oil imports (a major input in production). Use the relevant economic theories and concepts in ECON 248 to answer the questions below.

Questions

1. How is fiscal stimulus expected to affect the aggregate demand of Country X? Assuming that other factors remain constant, what can be expected to happen to the country's equilibrium price level and income?

2. How is the rise in global oil prices expected to affect the aggregate supply of Country X? Assuming that other factors remain constant, what can be expected to happen to the country's equilibrium price level and income?

3. Use the AD-AS diagram (model) to show and explain the net effects of fiscal stimulus and increase in oil price on equilibrium price level and income in Country X.

4. What monetary policy would you prescribe to help mitigate the impact of fiscal stimulus on price level? Use the AD-AS diagram to show how your policy recommendation could be expected to affect the equilibrium price level and income.

5. What fiscal policy would you recommend to help minimize the economic effects of high cost of oil imports? Use the AD-AS diagram to illustrate how your policy prescription could be expected to affect the equilibrium price level and income.