question archive Which of the following is true with regard to the costs of subsidization? a) Subsidization in the form of high feed-in tariffs lowers electricity prices
Which of the following is true with regard to the costs of subsidization? a) Subsidization in the form of high feed-in tariffs lowers electricity prices
Subject:MarketingPrice:2.88 Bought11
Which of the following is true with regard to the costs of subsidization?
a) Subsidization in the form of high feed-in tariffs lowers electricity prices.
b) U.S. consumers had benefited from the cost-efficient location of production in China even though it meant the loss of high-paying jobs in the United States.
c) The demand-side subsidies increased the negative externalities from emissions.
d) Renewable energy production such as solar and wind power was cost-competitive and hence was not dependent on subsidies.
Purchase A New Answer
Custom new solution created by our subject matter experts
GET A QUOTE
Answer Preview
a) Subsidization in the form of high feed-in tariffs lowers electricity prices
The producers get the same amount of profit margin even when the consumers are required to pay a lesser amount than a requirement. Subsidies reduce the burden of consumers. As a result, the subsidization contributes in reducing the consumers' actual price against electricity usage.
