export subsidies

• What is the purpose of export subsidies?

  To promote domestic goods in international markets
• What are subsidies often given on?

  Goods that are exported or where exports are a large proportion of output
• Why do many countries subsidise exports of agricultural produce?

  To boost exports and support farmer incomes
• Which company has accused European governments of subsidising Airbus?

  Boeing
• What is the implication of Boeing's accusation against European governments?

  It suggests that Boeing believes Airbus has an unfair advantage due to subsidies
• What are the main reasons for providing subsidies on exports?

  • To encourage domestic production
  • To enhance competitiveness in international markets
  • To support specific industries, such as agriculture
  • To stabilize farmer incomes