pls assist to answer question c and d

El (ll) Money and Business Cycles: Suppose after the model is solved by specifying the specicforms of the utility andproduction functions, calibrated, linearized around the steady-state and the equation ofmotion for the endogenous variables have been derived as a function of the state variables,we obtain the following impulse response function for the output (given by the (blue)triangles) following a contractionary monetary shock: MONETARY SHOCK years (c)Car1 the model replicate the behavior of output you generally observe in smallscalemonetary VARs? Explain by accounting for the price and output puzzles. [5] (d)In the same gure above, the impulse response function for output, following acontractionary monetary policy shock, indicated with (red) circles, is obtained from a NewKeynesian DSGE model. Can you explain what causes the difference in the result from thatof the MIU model? [Note you are ONLY required to lay out the basic structure of theNKDSGE model (equations are not necessary) to discuss the result] [9]