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Corona virus is estimated to cause a severe negative shock in output Y. Using the Money...

Corona virus is estimated to cause a severe negative shock in output Y. Using the Money market/exchange rate Market graphs-toolkit, show what the short run impact in money market (money demand) will be and in US interest rates, exchange rates, current account and US output Y. Show what the Fed should do to counterbalance this negative effect using monetary policy. Is this what the Fed did and what was the realized impact in short run exchange rates and interest rates?

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LMR Good Mornket Mooney Market LM2 M rn rate o IS-LM clowe (Ex) ² Exchange interest parita Due to the severe impact of Coroma

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