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thank you for help Assuming that your subsidy approach to the problem is working, 100,000 workers lose their jobs. The government decides to retrain these
thank you for help
Assuming that your subsidy approach to the problem is working, 100,000 workers lose their jobs. The government decides to retrain these workers with money it raises by taxing consumption of chocolate with a tax on the consumption (price) of chocolate.
Given the changes in your graph from this tax, show how the size of the subsidy might change in order to encourage the socially efficient production of chocolate. (total of 20 points possible)
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