bigshortrabbit bigshortrabbit
  • 27-10-2021
  • Advanced Placement (AP)
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4. When governments subsidize industries what does that do to the supply of goods?

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caridadrobles0808
caridadrobles0808 caridadrobles0808
  • 27-10-2021

Answer:

Subsidies targeted at goods in one country, by lowering the price of those goods, make them more competitive against foreign goods, thereby reducing foreign competition. As a result, many developing countries cannot engage in foreign trade, and receive lower prices for their products in the global market.

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