In the republic of the Overworld the aggregate supply has the equation Y=Y*+100 (atrte) where Y denotes output, 1\" denotes potential output, at denotes the ination rate and Ste denotes the expected rate of ination. Also assume that YY*=25(uu*) , where u denotes the unemployment rate and us denotes the natural rate of unemployment. Assume that the central bank of Overworld has an ination target of 3 percent, but ination in Overworld has been above target at 5 percent. What is the impact on the output and unemployment rate of Overworld if the ination target is credible? Select one: 0 a. Output is 100 units above potential and unemployment is 4 points below the natural rate of unemployment 0 b. Output is 100 units below potential and unemployment is 8 points above the natural rate of unemployment 0 c. Output is 200 units above potential and unemployment is 8 points below the natural rate of unemployment 0 d. Output is 200 units below potential and unemployment is 4 points above the natural rate of unemployment