Economy, asked by venki6916, 9 months ago

The burden Of financial subsidy falls on whom

Answers

Answered by harshikesh34
0

Answer:

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Answered by Anonymous
3

Most of the burden of a tax falls on the less elastic side of the market because of the lower ability to respond to the tax by changing the quantity sold or bought. Introduction of a subsidy, on the other hand, lowers the price of production which encourages firms to produce more.

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