In May 2024 the Australian 1-year nominal interest rate is 4.3%. Concurrently, the 1-year nominal interest rate in the U.S. is 5.3%. Australia and the U.S. both adopt a floating exchange rate regime and there is free asset mobility between the two countries. a) Then, what is the expected variation (in percent) in EUSD,AUD according the the uncovered interest rate parity condition? Show how you derive your result. b) Illustrate these circumstances on a very-large UIP graph (letter A), assuming that Australia is the Home country. Make sure you include the numerical values of both countries' nominal interest rates and indicate, without their numerical values, and +1 Because U.S. inflation remains high, market participants reassess the U.S. 1-year nominal interest rate that is expected in May 2025 . Hence, +1,1, increases relative to what was previously thought. c) Illustrate on the graph of part b) the effects of the increase in +1,1, on the present UIP graph (letter B), holding present nominal interest rates in the two countries unchanged. d) Explain the intuition of the answer in part c