A Subsidy Granted to an Import-Competing Producer Tends to Be

question 64

True/False

A subsidy granted to an import-competing producer tends to be absorbed by producer surplus and higher-costs of production.

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Definitions:

Photosynthesis

The process by which green plants, algae, and some bacteria convert light energy, usually from the sun, into chemical energy stored in glucose.

Plants

Multicellular organisms that are primarily photosynthetic and form a key part of the Earth's ecosystems, providing oxygen and food.

Mesophylls

The inner tissue of a leaf, containing many chloroplasts, where photosynthesis occurs.

Stroma

Thick, cytoplasm-like fluid between the thylakoid membrane and the two outer membranes of a chloroplast. Site of light-independent reactions of photosynthesis.