Suppose the government’s goal is to reduce the unemployment rate. Some legislators propose that the government should give a subsidy s to any firm that hires a worker. Others argue that it would be more effective to simply pay consumers to stay at home rather than search for work; that is, anyone who chooses not to participate in the labour force should receive a payment q. Which policy is more effective in achieving the government’s goal? Explain using the two-sided search model, with the aid of diagrams. (In your answer, do not concern yourself with how the subsidies from the government are financed.)