Question

Home country subsidies can be retaliatory because

A. they decrease the operating costs of local manufacturers compared to foreign manufacturers, thereby harming the competitive profile of the foreign firms.
B. they may discriminate against companies that have not contributed to the president's campaign.
C. they reduce the cost basis of the foreign manufacturers.
D. they are funded by taxpayers, which is all of the home country's nationals.

Answer 1

Home country subsidies can be retaliatory because they decrease the operating costs of local manufacturers compared to foreign manufacturers, thereby harming the competitive profile of the foreign firms.

Step-by-step explanation:

Home country subsidies can be retaliatory because they decrease the operating costs of local manufacturers compared to foreign manufacturers, thereby harming the competitive profile of the foreign firms.