directly or reduces the firm's taxes if the firm carr certain actions. From the firm's perspective, subsi an offset to costs; they essentially reduce the cos production and increase supply at every given pri shifting supply to the right. O subsidy

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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A____
occurs when the government pays a firm
directly or reduces the firm's taxes if the firm carries out
certain actions. From the firm's perspective, subsidies are
an offset to costs; they essentially reduce the cost of
production and increase supply at every given price,
shifting supply to the right.
O subsidy
O tarrif
O price ceiling
O price floor
Transcribed Image Text:A____ occurs when the government pays a firm directly or reduces the firm's taxes if the firm carries out certain actions. From the firm's perspective, subsidies are an offset to costs; they essentially reduce the cost of production and increase supply at every given price, shifting supply to the right. O subsidy O tarrif O price ceiling O price floor
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