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Demonstrate that if the government in H takes away 5 units of good A and 20 units of good B from one household in H
Demonstrate that if the government in H takes away 5 units of good A and 20 units of good B from one household in H and gives those 5 units of good A and those 20 units of good B to the other household in H, then all households in Country H will gain from trade. In doing so, you are demonstrating that there is a tax and transfer system available that leads to free trade being Pareto superior to autarky
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