Question: 8. (15 marks) You are given with some economic data of Economy A in 2021. Answer this question using the economic data given. Economic data

8. (15 marks) You are given with some economic data of Economy A in 2021. Answer this question using the economic data given. Economic data Nominal GDP growth rate Economy A 300% Real GDP growth rate 2% a. Identify the major short term economic problem facing Economy A. Provide evidence from the table to support your answer. (3 marks) b. What is the main cause for the problem in part a? Explain how it leads to the problem. c. (5 marks) Suppose you were the chairperson of the central bank, what kind of policy could you adopt to tackle the problem in part a? How does the policy work? Explain your answer. (7 marks) && End of Paper

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