Hey,

for the question below can you show me what the diagram would look like for the AD model and philips curve ?

Q3 - Contractionary monetary policy in Australia (& US) to a positive shock It is evident that Central Banks in advanced capitalist nations such as Australia are serious about reducing annual CPI inflation, which was 5.4 per cent in the September 2023 quarter. Raising the cash rate quite sharply can be an effective tool at reducing medium- and long-term inflation expectations, but this has its implications-as pointed out in the following articles (listed in chronological order): For 3a, Ainsworth, Kate (2023) 'Reserve Bank unlikely to lift rates in October despite inflation uptick as more households brace for mortgage cliff, ABC News, 27" September, available: https://www.abc.net.auews/2023-09-28/risk-of-interest-rate-rise-rba-inflation-uptick-mortgage-cliff/102873640 Ryan, Peter (2023) 'A rising number of households on the cusp of financial stress, but RBA says banking system isn't at risk', ABC News, 6" October, available: https:/www.abc.net.auews/2023-10-06/rising-number-of-households-in-financial-stress-says-rba/102942306 For 3b, Ziffer, Daniel (2023) 'Aussie dollar slump brings travellers pain and gain, but builds pressure on inflation and interest rates', ABC News, 22" August, available: https://www.abc.net.auews/2023-08-22/aussie-dollar-slump-brings-pain-to-travellers/102757420 Taylor, David (2023) 'Analysts warn the Australian dollar could slump further as stubborn inflation pushes global interest rates higher', ABC News, 3" October, available: https://www.abc.net.auews/2023-10-03/the-drum-aus-dollar-falls-against-usdollar-record/102930254 Use the multiplier AD model and Phillips curve diagram to illustrate and explain in detail how the aggregate demand function in the Australian economy is expected to shift by the end of next year if the RBA's goal is to get the unemployment rate from 3.5% up to 4.5%