The overall point of this Problem Set is to produce an 'lmpulseResponse Function' a chart showing how an economy that is shocked away from equilibrium returns to equilibrium.1 In particular, we are going to study the dynamics of the labor market to a shock to the size of the labor force. Suppose in an economy, there are 2 million adults, and the labor-force participation rate is 50 percent. Each month, 2 percent of employed workers lose theirjobs, and 8 percent of unemployed workers find jobs. These values .9 and f are fixed, and do not change throughout this problem set. a) Calculate the equilibrium unemployment rate if\" using the search-theory formula derived in class. How many people are unemployed U* in equilibrium? How many people are employed E\" in equilibrium? How many people transition from U to E (or E to U) each month in equilibrium? The economy starts at time t = 0 in equilibrium, at the levels of U", E\