Question 6 Read this article from the Conversation [click on the link): Government to legislate for multiemployer bargaining, strengthening push for wage increases Assume the following scenario: (i) The Reserve Bank of Australia (REA) uses the interest rate rate to respond to deviations from the targeted ination [P PT). (ii) To simplify the analysis, ignore the increase in cost of living referred to in the article. That is, assume that there has not been an initial shock causing an increase in prices. Use the ISLM model, the wagesetting and pricesetting models, as well as ADAS models, to explain (both graphically and in words) the effects of this legislation on: (a) {10 marks) Output level, interest rate, and price, in the shortrun. (b) (10 marks) Output level, interest rate, and price, in the mediumrun