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|For all the below questions explain thoroughly and show your work. A. Assume that in an economy only 3 goods are produced and consumed: beans, fruit, and sh. Suppose that on January 1, beans sold for $2.50 per pound, sh was $3.00 per pound, and fruit was $1.50 per pound. At the end of the year, beans prices had increased to $5.00 per pound, but fruit prices stayed at $1.50 per pound, and sh prices had agtpallyjaljen to $2.00. CPI basket is 10 lhs beans, 25 lbsfruit, 32 lbs sh. I=n January 1, households bought the CPI basket. At the end of the year, households bought 2 lbs beans, 15 lbs'uit, 45 lbs sh. What happened to the CPI ination rate? Show and compute the commodity substitution bias. Explain the relationship between new goods and CPI measure of ination. Use and present answer with 4 decimals. B. During the early 1930s, there were a__n_1_1_1_:_nl;_e_ij_o_f bank failures. What did this do to the money supply? Why? What could have reversed the change in the money supply as stated above