Answer :
Answer:
lower prices for consumers and higher prices for producers
Explanation:
the options to this question wasn't provided . Here are the options:
higher prices for consumers and producers lower prices for consumers and producers higher prices for consumers and lower prices for producers
lower prices for consumers and higher prices for producers
A subsidy is when the government pays an individual or a firm directly or indirectly. It could be in the form of direct cash payment, tax breaks or grants. Subsidies are usually given to encourage the production of goods and services.
Subsidy on agricultural goods reduces the price paid for agricultural goods and increases supply of goods. It would increase the price earned by producers.
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