Consider a 3-sector economy for which autonomous expenditure is 1020-2000r and induced expenditure is 0.6Y. The central bank has currently set the nominal expected inflation is 3%. Also, assume that taxes, government expenditure, and planned investment are all exogenous If the potential output for this economy is 2500 at that may exist in this economy can be eliminated by: Please choose which of the following can be conect L increasing the nominal interest rate to 4% II. increasing taxes by 75 III. increasing the nominal interest rate to 2% IV. decreasing government expenditure by 60 O Both I and IV are correct O Both it and Ill are correct i Only IV is correct Both Ill and IV Only Il is correct