Subsidies

Subsidies are financial aids provided by governments to help specific industries or sectors. They can take the form of cash payments, tax breaks, or price controls. The purpose of subsidies is to encourage production, lower costs, support struggling businesses, or promote certain activities like renewable energy or agricultural development. By reducing expenses, subsidies can make goods and services more affordable for consumers. However, they can also lead to market distortions and debates about the best use of public funds. Overall, subsidies aim to enhance economic stability and achieve policy objectives.