To improve the outcome of helping producers in a small
Nation by the targeting principle, the nation should:
A)use a production subsidy.
B)do nothing.
C)allow the market to work on its own.
D)use export subsidies.

Question

Quizplus · Accepted Answer

Using a production subsidy would directly target and assist the producers in the small nation by providing financial support for their production costs, ultimately improving their outcomes. The other options of doing nothing or allowing the market to work on its own may not provide enough support for the struggling producers, and using export subsidies may only benefit the producers who are able to export their products, leaving others behind.

To Improve the Outcome of Helping Producers in a Small