Question 6 [12 marks] Grandiosa is a large open economy with a oating exchange rate. Suppose its government imposes tariffs on all imported goods. Based on the above information, answer the questions below. (a) Use three interconnected graphs to illustrate the long-run effect of the trade policy on Grandiosa's economy. Be sure to label clearly the following: graph titles, axes. curves, initial equilibrium values, the direction of curve shifts, and terminal equilibrium values. (8 marks) (b) Explain the impact of the trade policy on the equilibrium value of net exports by referring to the changes in imports and exports. (2 marks) (c) For which of the following countries would protectionist trade policies be effective in the short run, i.e., improve the country's trade balance? (2 marks) i. Grandiosa ii. Tropicana, a small open economy with a oating exchange rate iii. Minimo, a small open economy with a xed exchange rate