This is the question.

3. Suppose that instead of simply being a waste of output, government purchases are used for infrastructure which increases current productivity. In particular, suppose that the government increases its current purchases (G increases} and that this in turn increases total factor productivity (2 increases). The governm-t funds the higher expenditure by lump sum taxes. Using the static general equilibrium model from class (and diagrams when possible}, discuss the effects this policy change will have on the equilibrium levels of output, employment, and consumption. Note: This question is more qualitative ( graph and discussion are enough)