information;the South African Reserve Bank (SARB) has reduced the repo rate from 6.75% to 3.75% in a very short period due to covid 19

1.1 Use an appropriate diagram to illustrate and explain the likely effects of reducing the repo rate on output and inflation in South Africa, assuming that the economy was initially operating at less than full employment.

1.2 Identify the type of policy that the SARB has implemented.

1.3 Suppose that you were required to advise the authorities with how the economy in South Africa could be boosted using supply-side measures. Briefly discuss any four (4) supply-side sources of economic growth that you would propose.