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Either the idle speed is too high or the fuel cut soleniod is stuck open. The soleniod cuts off the fuel flow to the idle circuit when the key is turned off.
To test the solenoid:
Unbolt it from the back of the carb and ground it as far from the carb as possible (to avoid a spark, which could ignite fuel in the carb). And have someone turn the key on, but don't crank it or start it. The stick on the end of the solenoid should retract with a click and come back out as soon as the key is turned back off.
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