no copy paste answer need unique solution in detailsVarious monetary policy rules have been proposed over the years. 1. What is a monetary policy rule? 2. What is the purpose of a monetary policy rule? 3. What was the monetary policy rule proposed by Milton Friedman? 4. What is the equation of the Taylor rule? Explain how the Taylor rule works. 5. Using Taylor's values for a and b, and assuming the natural rate of interest is 1%, at what level should the central bank should set the nominal interest rate according to the Taylor rule of inflation is currently 4.7%, the target rate set by the central bank is 2%, and actual output is 5% below potential GDP