Please Answer this Question Correctly and do All Parts.

1. Multipliers, openness, and fiscal policy Consider an open economy characterized by the equations below C=C2+(Y-T) I = d.+d,Y IM = my X = x,Y* The parameters m, and x are the propensities to import and export. Assume that the real exchange rate is fixed at a value of 1 and treat foreign income, Y*, as fixed. Also assume that taxes are fixed and that government purchases are exogenous (i.e., decided by the government). We explore the effectiveness of changes in G under alternative assumptions about the propensity to import. a. Write the equilibrium condition in the market for domestic goods and solve for Y. b. Suppose government purchases increase by one unit. What is the effect on output? (Assume that 0