Export Subsidies

Discipline: Economics

Export Subsidies are goverment payments made to exporters in an effort to reduce their selling prices, and thus make it easier for them to compete in international markets.

Governments pay export subsidies to increase the in-flow of currency, and decrease unemployment.

Export subsidies are criticised (usually by competing exporters in other countries) on the grounds that they cause unfair competition.

Also see: exports, unfair competition


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