How do government subsidies affect farm production income, Business Economics

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How do government subsidies affect farm production income

1. How do government subsidies affect farm production, income and prices?

2. How do (unregulated) markets encourage pollution?

3. Who pays for subsidies?

4. How can government policy best ensure an optimal environment?

5. If you were a farmer, why would you need any subsidy (ies)?

6. What are the costs of greater environmental protection?

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