The Malbec economy is experiencing an economic downturn, creating a recessionary gap of $630 billion. Malbec's marginal propensity to consume (MPC) is 0.7. Suppose that Malbec's government hires you to provide expert opinion about the possible actions available to utilize fiscal policy to close the gap. Write a recommendation detailing the options the government has in implementing fiscal policy. Your recommendation must address the following areas:

1. How much would the increase in government spending be to help Malbec's government close the gap?
2. If the government tries to solve the problem only through tax cuts, how much would the tax cuts be?
3. Discuss the pros and cons of each strategy.
4. Show all mathematical calculations.
5. Draw a theoretical AD-AS model showing the effects of your policy recommendation.