1. (40 points) It is often argued that the private market will not graduate enough engineers to meet the country's need. Now, in response to this problem, suppose that the government adopted a scholarship program giving each engineering students $10,000 to help payoff part of the tuition. a. Draw the supply and demand curve to show the economic benefits of such action. b. Use the supply and demand diagram to analyze the economic effects if the subsidies of $10,000 is paid directly to the academic institutions for each engineering student enrolled. c. Compare your answers to part (a) and (b). d. Give an example of a negative externality that what should the government do to correct the market failure. (no diagram needed)