You may assume that there are open capital markets, and that prices are sticky in the short run but perfectly flexible in the long run. For full marks, be sure to label any diagrams clearly and completely.

3.Answer the following questions by locating and using relevant news articles from credible sources. (Don't forget to cite your sources.) a) What is the Maastricht Treaty's no bailout clause? b) What is the economic logic of the Maasrticht Treaty's no bailout clause? c) What were the consequences of the no bailout clause during the European sovereign debt crisis? Which Eurozone member countries and economic agents were most affected by the crisis and how?