Hongyi is trying to forecast the RBA's next move. He is worried that the RBA will raise rates again, and that this will adversely affect the value of his investment property. According to Hongyi's forecasts: D There is a 64% chance that the RBA will raise the cash rate target. In this case, the economy will contract with 74% probability. p There is a 24% chance that the RBA will keep the cash rate target unchanged. In this case, the economy will expand or contract with equal probability. . There is a 12% chance that the RBA will lower the cash rate target. In this case, the economy will expand with 74% probability. [Throughout this part] assume that the RBA will either raise, lower, or keep unchanged the "cash rate target"; and that the economy will either expand or contract.) A1. What is the probability that RBA will raise the cash rate target and the economy will contract? [2 marks] A2. Suppose the RBA raises the cash rate target. what is the probability that the economy will contract? [2 marks] A3. Suppose the economy contracted. what is the probability that the RBA raised the cash rate target? [2 marks]