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1.DEFINE ECONOMIC DEVELOPMENT INCENTIVES THAT GOVERNMENTS USE AND GIVE EXAMPLES OF THEM. 2.State why it is important to know
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1. Answer- Financial help provided for improving or maintaining a business model or business in form of cash or other way called economic development incentives. It is used to give impetus to trade in the economy, which will encourage business activities and positive change in the state economy.

Examples:

1.Loans or grants by the government for the initiation or development of various projects

2.Subsidy on various types of government bonds.

3.Subsidy or grant for construction of new housing for people due to nature-generated disaster

4.Government gives subsidy on income tax to new traders or eligible traders.

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