Cazenovia is in the midst of a bad recession, and its congress has placed economic recovery at the top of its political agenda. different expansionary' fiscal policies are currently being examined, but members of congress are aware of the problems associated with large sustained government deficits and will not accept any proposal mat increases the deficit by more than exist3 million after lengthy discussions, these are the final proposals: plan a: spend exist3 million on highways plan b: reduce taxes by exist3 million assume the economy of cazenovia is characterized by the following four equations in the short run. y = c+ l + g + nx c = c_v + c_y (y - t) i = (a constant) nx = 0 where c_0 = 50 and c_y= 0.6 using the government expenditure multiplier from the simple model presented in the chapter the plan to spend exist3 million on highways will increase y (gdp) by exist million. (click the following icon for answering this question) using the government taxation multiplier from the simple model presented in the chapter, the plan to reduce taxes by exist3 million will increase y (gop) by exist million. (click the following icon for answering this question) the plan that appears to be the most effective in achieving congress's goal is to. a. reduce taxes by exist3 minion b. spend exist3 million on highways. c. both are equally effective. d. neither achieves the goal of congress