IU Section 2 (30pts) 2) Suppose that the stock market declined sharply, reducing consumers' wealth. a. What are the implications of this decline in consumer's wealth on the economy? Use the AS-AD model to depict the impact of this event on the economy. b. How can the government use fiscal policy to return the economy to equilibrium? Describe all alternatives. For every alternative use a separate graph. Verdana 11pt BIU A A I* EE PSS2 O WORDS