Use the IS-LM-PC model to answer the following  questions.  In  Japan,  suppose  there  is  a  simultaneous increase  in  taxes  and  increase  in  the  money  supply.   Explain  what  kind  of  open  market  operations  the  Bank  of Japan  could  use  to  increase  the  money  supply?   Graphi- cally  explain  what  short-run  effect  this  particular  policy mix will have on output and the interest rate.  In addition, graphically  explain  what  the  resulting  medium-run  effect this  policy  mix  will  have  on  output,  interest  rate,  and inflation  rate

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