Problem
1. What are the effects of a temporary increase in government purchases on the real interest rate, aggregate output, employment, the real wage, consumption, and investment?
2. What are the effects of a decrease in the current capital stock on the real interest rate, aggregate output, employment, the real wage, consumption, and investment?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.