Problem 4. A closed economy has full-employment output of 9000, and government purchases are 2000. Desired consumption and investment are as follows Real interest rate g = W N 6 Desired Consumption 6100 6000 5900 5800 5700 Desired investment 1500 1400 1300 1200 1100 a) Why do desired consumption and desired investment fall as real interest rates rise b) Find desired national savings for each value of real interest rate c) With what real interest rate is the goods market in equilibrium, that is Savings equal to Investment. Graph d) If government purchases fall to 1600 what is the equilibrium interest rate now. Explain and show in the graph