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Yes, a subsidy can create a deadweight loss because it distorts the market by artificially lowering the price of a good or service, leading to an inefficient allocation of resources. This can result in reduced overall economic welfare as resources are not being used in the most productive way.
What else can I help you with?
What is the act of providing a subsidy?
The act of providing a subsidy generally means that money is supplied to a person, government or a corporation with the intent of securing an action deemed to be beneficial to the party providing the subsidy or too a worthy purpose as so identified as being beneficial.
Can a monopoly produce efficient output level?
A monopoly typically does not produce an efficient output level because it restricts production to maximize profits, leading to higher prices and reduced consumer surplus. Unlike competitive markets, where supply meets demand at a socially optimal point, monopolies create a deadweight loss by producing less than the quantity that would be socially efficient. Consequently, while a monopoly can achieve profit maximization, it often does so at the expense of overall economic efficiency.
What is fiscal incentives?
For the most part so-called "tax incentives" simply remove part or all the burden of the tax from whatever market transaction is taking place. This is because almost all taxes impose what economists call an excess burden or a deadweight loss Deadweight loss is the difference between the amount of economic productivity that would occur absent the tax and that which occurs with the tax imposed. -from wikipedia-
What was subsidy?
Money provided by a government/local body to assist a industry or business so that their produce or commodity remains at a low or consistent level.
A stock is currently selling for 36 a share What is your gain or loss if you sell the stock short and the price rises to 62?
You will have to pay $62 to cover the stock that you only received $36 for so your loss is $26 per share.
What is deadweight in marine?
Meaning that you cant pull your self to be better and/or all you can be. so you need help.
What is the act of providing a subsidy?
The act of providing a subsidy generally means that money is supplied to a person, government or a corporation with the intent of securing an action deemed to be beneficial to the party providing the subsidy or too a worthy purpose as so identified as being beneficial.
Can a monopoly produce efficient output level?
A monopoly typically does not produce an efficient output level because it restricts production to maximize profits, leading to higher prices and reduced consumer surplus. Unlike competitive markets, where supply meets demand at a socially optimal point, monopolies create a deadweight loss by producing less than the quantity that would be socially efficient. Consequently, while a monopoly can achieve profit maximization, it often does so at the expense of overall economic efficiency.
What is the difference between fha and fmha which one is better?
I heard that with an FHA subsidy low-income housing loan that there is no subsidy recovery owed if the borrower owns the home for over 9 years. Is that true? If so, is it also true with USDA f/k/a FmHA?
What is a subsidies?
Subsidy is basically just money given by a government or person to another. The official definition for the word subsidy is "a sum of money granted by the government or a public body to assist an industry or business so that the price of a commodity or service may remain low or competitive."
What is fiscal incentives?
For the most part so-called "tax incentives" simply remove part or all the burden of the tax from whatever market transaction is taking place. This is because almost all taxes impose what economists call an excess burden or a deadweight loss Deadweight loss is the difference between the amount of economic productivity that would occur absent the tax and that which occurs with the tax imposed. -from wikipedia-
What was subsidy?
Money provided by a government/local body to assist a industry or business so that their produce or commodity remains at a low or consistent level.
Can an adopted 18 yr old for which you get subsidy for - take you to court for child support and win this case?
Child support is not paid to the child. It is paid to the parent who is taking care of him. If you needed subsidy as he grew up that is not something you have to pay him for. He got his support through you when he was growing up. So no, he cannot sue.
What is schweinhund?
I am so sorry for the inconvenience caused by the loss of your body of a body for not wanting the child for the loss. I am so sorry for the loss
Why was the loss of life so great?
The loss of life is so great because of the people today, the wars, the economy, etc.
Was the allied powers harsh to the German's?
after the first world war.......i would say yes, very much harsh after the second.......not so much, mainly loss of land to create the Germany we know today
What is foreign exchange gain loss?
It's a foreign exchange gain or loss, so when you exchange currencies, you can either make a gain or a loss from it (profit or loss).
