The major difference between a price support program and a target price program is that:

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Target price programs typically involve the government setting a target price for a commodity and then subsidizing producers the difference between the market price and the target price if the market price falls below the target. This subsidy is not limited to domestic transactions; it can also affect international trade by making the subsidized commodity cheaper for foreign buyers. Price support programs, on the other hand, directly intervene in the market to maintain prices at a certain level, which can lead to excess supply but does not directly subsidize buyers, whether domestic or foreign.

The Major Difference Between a Price Support Program and a Target