Answer:
Step-by-step explanation:
there are various methods of government intervention. Two common methods include regulations and subsidies.
Regulations involve the use of laws, rules, and guidelines to control the behavior of individuals, organizations, and industries. For instance, government agencies can impose regulations on companies, dictating safety standards, environmental requirements or product quality standards.
Subsidies, on the other hand, refer to financial assistance provided by the government to support specific industries or activities. Subsidies can be provided in the form of tax breaks, direct funding, or low-interest loans to encourage a particular economic activity, such as the promotion of green energy sources or assistance to farmers.
As for the motives for government intervention, they can vary depending on the situation. However, some of the major defensive motives for government intervention include protecting national security, safeguarding public health and safety, preventing the abuse of monopoly power by firms, protecting consumers from harmful products or services, and reducing negative externalities like pollution. Additionally, government intervention can help stabilize market volatility, promote economic growth, and provide social welfare services.