ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A subsidy is a benefit given to an individual, business, or institution, usually by the government. It can be direct (such as cash payments) or indirect (such as tax breaks).

Detailed explanation-2: -Government subsidies are financial grants extended by the government to private institutions or other public entities, in order to stimulate economic activity or promote activities that are in the public good.

Detailed explanation-3: -There are different types of subsidies offered by the government; some of them are: Food Subsidy. Education Subsidy. Export/Import Subsidy.

Detailed explanation-4: -Subsidy is a payment that a. government makes to a producer to supplement the market price of a commodity.

Detailed explanation-5: -A subsidy is an incentive given by the government to individuals or businesses in the form of cash, grants, or tax breaks that improve the supply of certain goods and services. With subsidies, consumers are able to access cheaper products and commodities.