Because consumer decisions have not been affected, the
Production subsidy causes a _______ net loss than the
Export subsidy.
A)somewhat larger
B)significantly larger
C)smaller
D)similar

Question

Quizplus · Accepted Answer

A production subsidy typically results in a smaller net loss compared to an export subsidy because it does not distort consumer decisions as much, focusing instead on increasing production efficiency.

Because Consumer Decisions Have Not Been Affected, the