Please solve this question:

The central bank wants to maintain inflation at a fixed target and to see the economy operating at potential output. It sets its overnight rate (onr) based on the following rule: onr = 2 + 1.1 (IT - TT*) + 0.9 [(Y - Yp)/Yp] x 100 a) If the economy is operating at potential output and the inflation rate is at the Bank's target, T*, what is the Bank's onr setting? Note: Keep as much precision as possible during your calculations. Your final answer should be accurate to at least two decimal places. onr = 0% b) Suppose a recession in a major trading partner lowers demand for domestic exports, lowers AD and lowers real income Y = Yp = 1,180 to Y = 1,026.6. How would the central bank respond (+ for increase, - for decrease)? Basis point change in onr = 0 c) Alternatively, suppose a rise in labour productivity growth pushed the inflation rate down by 0.5 percent. How would the central bank respond (+ for increase, - for decrease)? Basis point change in onr = 0