Explain the Concept of Subsidies and How They Are Used,including

question 10

Essay

Explain the concept of subsidies and how they are used,including their disadvantages.In what ways does the protection of infant industries produce similar drawbacks?

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Definitions:

Needs Hierarchy Theory

A psychological theory proposing that human needs are arranged in a hierarchy, with basic needs being the most fundamental.

Perceptions of Fairness

Individual judgments about the appropriateness, justness, and equity of an action or decision, often relating to treatment by others.

Distribution and Exchange

The processes involved in the allocation of goods and services among individuals or groups, and the trading activities that facilitate this distribution.

Drives

Internal forces that motivate individuals towards certain actions or behaviors, often related to meeting basic physiological or psychological needs.