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Which of the Following Observations About Subsidies Is False

Question 45

Multiple Choice

Which of the following observations about subsidies is false?


A) Government subsidies must be paid for,typically by taxing individuals and corporations.
B) They mainly benefit domestic producers,whose international competitiveness is increased.
C) Whether they generate national benefits that exceed their national costs is debatable.
D) They help foreign producers gain a competitive advantage over domestic producers.

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