Recall from Unit 1 that you looked at how the Master Settlement Agreement funds
Recall from Unit 1 that you looked at how the Master Settlement Agreement funds from the tobacco lawsuit have been utilized. In this unit, you have studied how to minimize the effects of unforeseen events on the budget.
For this discussion, imagine that, like the tobacco settlement, there is now a settlement against coffee producers that allots $10,000,000 to each of the 50 states annually to be used as discretionary revenue. In all states, the $10,000,000 has been used to fund unemployment benefits and all the funds have been included as a revenue source in the budget.
The coffee producers filed an appeal for a reduction in the settlement to $1,000,000 per state and won. Post a brief description (2 paragraphs) of how you would minimize the effect of the reduction of the settlement dollars from $10M to $1M on the Budget Z.
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