A direct or indirect payment by a government to its country's firms to make selling or investing abroad cheaper for them is known as a(n) ____________.

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A subsidy is a form of financial aid or support extended by the government to economic sectors, firms, or individuals, generally aimed at bolstering the economy, promoting research and development, or supporting essential services. In the context of international trade, subsidies can make domestic goods and services more competitive abroad by lowering production costs or offering financial incentives, thereby encouraging exports and investment in foreign markets. Quotas and import/export controls, on the other hand, are regulatory measures that limit the quantity of goods that can be traded.

A Direct or Indirect Payment by a Government to Its