Question: Using the below equations explain mathematically and graphically the effect of a NEGATIVE Interest Rate shock on inflation, output, labor, and real wage. Please be

Using the below equations explain mathematically and graphically the effect of a NEGATIVE Interest Rate shock on inflation, output, labor, and real wage. Please be as comprehensive as you can.

y: = constant + = constant + 1 1+, (I tork) (17 y 1+ K 1+, y (1) (2)

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