A federally-sponsored program which offers loan guarantees to create and expand businesses in areas with below-average income and high unemployment is called:
A)the Small Business Administration.
B)the Economic Development Administration.
C)SBIC.
D)the Farmers Home Administration.

Question

Quizplus · Accepted Answer

The Economic Development Administration (EDA) is a federal agency that provides assistance to communities and businesses in areas that have been negatively impacted by factors like low income and high unemployment. The EDA offers loan guarantees to help businesses secure the funding they need to start or expand operations in these areas. The Small Business Administration (SBA) and SBIC (Small Business Investment Company Program) also provide support to small businesses, but they do not specifically focus on areas with below-average income and high unemployment. The Farmers Home Administration (FmHA) provides loans to farmers and rural residents for various purposes, but not specifically for business expansion.

A Federally-Sponsored Program Which Offers Loan Guarantees to Create and Expand