Question

A country that creates a subsidy for domestic goods is most likely to experience which benefit

Answer 1

Step-by-step explanation:

Domestic companies will be better able to compete against foreign businesses

Answer 2

A greater supply of domestic goods

Step-by-step explanation:

A country that creates a subsidy for domestic goods is most likely to experience the benefits of "A greater supply of domestic goods."

This is because, as domestic goods are subsidized, the price of goods will be cheaper to buy in the market. In turn, the citizens will be willing to demand more domestic products and ultimately leads to more supply of domestic products.

Other benefits include reduction of goods prices and control of inflation. Also, it will help prevent the deterioration of industries in the country.