The following equations describe an economy.

Y = C+I+G

C= 50 + 0.75(Y-T)

I = 150-10r

(M/P)power d = Y-50r

G = 250

T=200

M=3000

P=4

a. From the above list, use the relevant set of equations to derive theIScurve. Graph theIScurve on an appropriately labelled graph.

b. From the above list, use the relevant set of equations to derive theLMcurve. Graph theLMcurve on the same graph you used in part (b).

c. What are the equilibrium level of income and the equilibrium interest rate?

d. Derive the aggregate demand formula for this economy.