Refer to Article 3:"How to Fix Germany's Ailing Economy"

Use the information in the article to answer the following questionsrelated to Germany:

a)From the information given in the article, place an X where Germany's short run AD-AS curves intersect in reference to the LRAS curve below.

b)From the article paragraph analysis on Germany, determine the type of policies the countryshouldimplement to solve the problem. (Discuss whether the policies are contractionary or expansionary. Discuss whether they are monetary, fiscal and/or trade policies). In your discussion, explain the determinants of the AD and/or AS affected by these suggested policies and the direction which theywouldmove the AD and/or AS curves.

c)What impactwouldthese policies have on Germany's budget deficit and public debt? (In other words, will these policies result in a higher or lower budget deficit and/or public debt?) What are some of the secondary impacts of the (higher or lower) public debt?