Readings questions based on "America's battle with inflation is about to get trickier," The Economist, July 26, 2023, posted to coursesite. Please keep your answers brief and follow the directions. a. On March 16, 2022 the US Federal Reserve ("Fed") raised the federal funds rate (by a quarter percentage point) for the first time since 2018. On July 26, 2023, the Fed interest rates once again -- for the 11th time -- making for "America's sharpest course of monetary tightening in four decades." Why has the Fed been raising interest rates? Why did the Fed pause in September 2023 given that inflation (annual rate of * 3.7% ) is still above its target of 2%? Provide appropriate macro policy name and, cet. par., show what will happen in the full SR model in i-Y space. Use directional arrows to show and explain what would have happened to all IS components according to our model. b. If energy prices were to "rally" (cet. par.) why would consumers and firms "revise up their expectations for inflation" and how would that affect what the Fed is doing? Provide the name for the "policy rate" equation and use it to explain your answer. How