Is an Export Subsidy a Good Way for a Large

question 136

Multiple Choice

Is an export subsidy a good way for a large nation to help a
Poor nation by exporting products to them at lower prices?

• A)Yes, and it is a method recommended by the WTO.
• B)It can help in some cases.
• C)No; it creates inefficiency in production, and it hurts firms (especially small farmers) who cannot compete.
• D)Yes; but it can get tricky when the importers demand even more quantity at lower prices.

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Definitions:

Forced Inhalation

An involuntary or voluntary act of taking air into the lungs through the use of respiratory muscles more forcefully than in normal breathing.

External Intercostal Muscles

Muscles located between the ribs that expand the chest cavity for inhalation by elevating the ribs.

Inhalation

The act of taking air into the lungs through the nose or mouth, essential for oxygenating the blood and removing carbon dioxide.

Respiratory System

The network of organs and tissues that help you breathe, including the lungs, airways, and muscles.