Question: please answer this question as specific as you can. thank you Question 3 45 pts QUESTION 3: 45 points total. Consider the following static (closed-economy)

please answer this question as specific as you can. thank you

Question 3 45 pts QUESTION 3: 45 points total. Consider the following static (closed-economy) version of the Classical model: Y = F(K. L) C =C+a(Y - T), with C > 0 and 0 0, where c and / represent respectively the autonomous components of consumption (C ) and investment ( ). Assume the factor inputs are fixed in supply: K = R and [ = [ . Finally, assume that government expenditures and taxes are exogenously given (i.e., G = G and T = 7 ). Based on this model, answer each of the following questions being as precise as possible. A. Predict and explain the effects of an exogenous decrease in government spending (dG

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