kindly assist with the solutions to the above questions. showing the workings clearly so I can learn.

1. Public sector economics is one of the oldest fields of study in economics. a) Why do we study public finance? b) Public sector economists are argue for a "minimal state." What does this imply? c) What are the conflicting aims that the government faces in conducting economic policy? d) Government is an agent. What do you understand by this statement? 2. Figure 1 depicts an economy containing two people, Person 1 and Person 2, and two goods, X, and X2 Figure 1 X48* Person 2 X,8 22 D n 1 A X,8 Person 1 X,5" 1 a) Clearly explain Figure 1. b) Are the efficient market allocations in Figure 1 equitable? c) What would you technically call a movement of either person from point D to point A or B? d) with very brief explanation, who is happier, Person 1 or Person 2, at points A, B, C, and D. e) Is the movement in (d) socially desirable? Very briefly explain. 3. State and very briefly discuss the problems associated with the Coasian solution to the problem of negative externalities. (Maximum three sentences on each). 1. Public sector economics is one of the oldest fields of study in economics. a) Why do we study public finance? b) Public sector economists are argue for a "minimal state." What does this imply? c) What are the conflicting aims that the government faces in conducting economic policy? d) Government is an agent. What do you understand by this statement? 2. Figure 1 depicts an economy containing two people, Person 1 and Person 2, and two goods, X, and X2 Figure 1 X48* Person 2 X,8 22 D n 1 A X,8 Person 1 X,5" 1 a) Clearly explain Figure 1. b) Are the efficient market allocations in Figure 1 equitable? c) What would you technically call a movement of either person from point D to point A or B? d) with very brief explanation, who is happier, Person 1 or Person 2, at points A, B, C, and D. e) Is the movement in (d) socially desirable? Very briefly explain. 3. State and very briefly discuss the problems associated with the Coasian solution to the problem of negative externalities. (Maximum three sentences on each)