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4) Assume the following equations summarize the structure of the economy. C = Ca + 0.5(Y-T); Ca = 500; T = 200; Ip = 1,500-25r; G = 100; and Md = 0.25Y 25r; Ms = 250 3) Compute the equilibrium interest rate and output. (0.5) b) Suppose the government increases its spending by 500. Compute the new equilibrium interest rate, equilibrium output, and the size of crowding out effect (0.5)? Compare the e'ectiveness of the scal policy with your result in question 1.d) and explain the differences (1)? Help me. please! Question B of problem 4 is based on question d of problem 1. 1) Assume the following equations summarize the structure of the economy. 0 = Ca + 0.5(Y-T); Ca = 500; T = 200; lp = 1,500-50r; G = 100; and Md = 0.25Y 25r; Ms = 250 d) Suppose the government increases its spending by 500. Compute the new equilibrium interest rate and output. (0.5). What is the size of the crowding~out effect? Explain