McqMate
| Q. |
Subsidies are payment by government to – |
| A. | Consuming units |
| B. | Producing units |
| C. | Banking units |
| D. | Retired persons |
| Answer» B. Producing units | |
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Explanation: A subsidy is essentially a payment by the government to suppliers/producers that reduce their costs of production and encourages them to increase output. |
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