If we pass a separate '$output' arg to the merge tool, we produce four files:
local, base, other, and output. In this situation, 'output' will be the
original filename, 'base' and 'other' are temporary files, and previously
'local' would be the backup file (so if 'output' was foo.txt, 'local' would be
foo.txt.orig).
This change makes it so that 'local' follows the same pattern as 'base' and
'other' - it will be a temporary file either in the
experimental.mergetempdirprefix-controlled directory with a name like
foo~local.txt, or in the normal system-wide temp dir with a name like
foo~local.RaNd0m.txt.
For the cases where the merge tool does not use an '$output' arg, 'local' is
still the destination filename, and 'base' and 'other' are unchanged.
The hope is that this is much easier for people to reason about; rather than
having a tool like Meld pop up with three panes, one of them with the filename
"foo.txt.orig", one with the filename "foo.txt", and one with
"foo~other.StuFf2.txt", we can (when the merge temp dir stuff is enabled) make
it show up as "foo~local.txt", "foo.txt" and "foo~other.txt", respectively.
This also opens the door to future customization, such as getting the
operation-provided labels and a hash prefix into the filenames (so we see
something like "foo~dest.abc123", "foo.txt", and "foo~src.d4e5f6").