Use the FX and money market diagrams to answer the following questions, which consider the relationship between the Swedish kronor (SK) and the Danish krone (DK). Let the exchange rate be defined as Swedish kronor per Danish krone, E_sk/dk. On all graphs, label the initial equilibrium point A. Suppose that there is an economic boom in Sweden, leading to an increase in real money demand in that country. 

a. Assume that this change in real money demand is temporary. Using the FX and money market diagrams, illustrate how this change affects the money and FX markets. Label your short-run equilibrium point B and your long-run equilibrium point C.

b. Assume that this change in real money demand is permanent. Using a new diagram, illustrate how this change affects the money and FX markets. Label your short-run equilibrium point B and your long-run equilibrium point C.

c. Illustrate how each of the following variables changes over time in response to a permanent increase in real money demand: nominal money supply M_s, price level P_s, real money supply M_s/P_s, Swedish interest rate i_sk, and the exchange rate E_sk/dk.