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When positive spillovers exist, government can provide __________ such as in agriculture and public education?

2 Answers

4 votes

Answer:

subsidies

Step-by-step explanation:

User Galdikas
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When positive spillovers exist, government can provide benefits such as in agriculture and public education. This happens when some consuming individuals affect third parties in a positive way. The government corrects this by increasing the demand which equally increase benefits to socially useful amounts. In addition to agriculture and public education, the government may offer immunization or public hospitals.
User Toufic Batache
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