Economics · Public Finance and Subsidies
In national budgeting and public finance, what are 'merit subsidies'?
- 1Subsidies awarded to high-performing export industries
- 2Subsidies sanctioned directly by the World Bank
- 3Subsidies on goods/services that generate positive externalities and benefit society as a whole✓
- 4Subsidies provided exclusively to meritorious students
Correct answer
Subsidies on goods/services that generate positive externalities and benefit society as a whole
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