Final answer:
Enterprise zones are designed to attract business investments and stimulate economic growth by offering incentives such as tax breaks and government support. Special Economic Zones (SEZs) in places like China have been particularly effective in drawing multinational corporations to establish operations, providing jobs and contributing to economic development. Option B attract business investment by offering lower taxes and government support for development is the correct answer.
Step-by-step explanation:
Enterprise zones are specific geographic areas that attract business investment by offering lower taxes and government support for development. This initiative is not solely directed at major corporations promising huge investments but is available to various businesses willing to establish or expand their operations in targeted areas, typically to stimulate economic growth and job creation.
In China, for example, Special Economic Zones (SEZs) play a pivotal role in attracting multinational corporations, by taking advantage of the country's lower labor and production costs. These zones often have access to ports and other infrastructure, providing key advantages to businesses, such as tax incentives, opportunities for exporting manufactured products, and fostering joint partnerships. This helps to provide jobs for local citizens while fueling technological change and economic development.
State and local governments realize the importance of such incentives as they lead to the development of the community's economy, increased employment, and expanded resource utilization. The benefits to the government also include the successful attraction of businesses, an expanded payroll tax base, and a healthier local economy.