Question 1 Answer the below questions about GDP. a. Give the definition of GDP and explain what items are not included in its calculation? (5 marks) b. Explain the problem of "double-counting" and how it can be avoided in calculating GDP.(5 marks) c. For an economy with $8 billion in government purchases, $4 billion in exports, $15 billion in consumer spending, $3 billion in imports, and $5 billion in investment, what would be the GDP? Apply the formula. (10 marks) Question 2. a) While Australia is coming out of recession caused by Covid 19 as many other economies of the world. What steps the Central Bank of Australia has taken during this time. (10 marks) b) Think about the Australian economy, which was initially at the equilibrium level of real GDP. By using aggregate demand and aggregate supply diagram, explain the short-run consequences of the following actions upon an economy, you do not need to draw the diagrams: Central bank increases the interest rate An appreciation or rise in the foreign exchange rate value of the economy's currency . Decrease in taxes . Decrease in subsidies