show the step-by-step answers to the questions below.Part a. (13 Marks) Use the Mundell-Fleming model to predict what would happen to aggregate income, the exchange rate, and the trade balance under both floating and fixed exchange rates in response to a tax cut by Govt. of Canada (Canada is a small open economy). Part b. (12 Marks) Is the tax cut effective under floating exchange rate or fixed exchange rate regime? Why or why not