In the immediate aftermath of Russia's invasion of Ukraine in February 2022, early estimates suggested about 3 million barrels a day of petroleum productionalmost 3% of world productionhad been effectively removed form the global oil market, constituting one of the largest supply shortfalls since the 1970s. Because of its strong dependency on Russian oil, European Union (EU) member countries experienced a much higher increase in price levels P compared to price levels of other countries P* (i.e., sticky prices don't apply). a. (7 Points) Use an AA-DD-XX diagram to analyze how price increases in petroleum affected the euro and EU's overall economic output in the short term, all else equal. b. (6 Points) After the oil price shock, is the EU's current account above or below their current account target? Explain your answer. c. (7 Points) What policy action can governments of EU member countries or the European Central Bank take in order to achieve their current account target in the short term? Use an AA-DD-XX diagram to explain your answer. In the immediate aftermath of Russia's invasion of Ukraine in February 2022, early estimates suggested about 3 million barrels a day of petroleum productionalmost 3% of world productionhad been effectively removed form the global oil market, constituting one of the largest supply shortfalls since the 1970s. Because of its strong dependency on Russian oil, European Union (EU) member countries experienced a much higher increase in price levels P compared to price levels of other countries P* (i.e., sticky prices don't apply). a. (7 Points) Use an AA-DD-XX diagram to analyze how price increases in petroleum affected the euro and EU's overall economic output in the short term, all else equal. b. (6 Points) After the oil price shock, is the EU's current account above or below their current account target? Explain your answer. c. (7 Points) What policy action can governments of EU member countries or the European Central Bank take in order to achieve their current account target in the short term? Use an AA-DD-XX diagram to explain your