Enterprise zones and investor visas are examples of which type of government policy?

• A. Price controls to regulate market prices
• B. Monetary policies aimed at controlling inflation
• C. Trade restrictions to protect domestic industries
• D. Policies designed to encourage economic development

Answer: (D)

Verified step by step guidance

1. Identify the nature of enterprise zones and investor visas: these are initiatives aimed at stimulating economic activity in specific areas or by attracting investment.
2. Understand that price controls involve setting maximum or minimum prices for goods and services, which is different from encouraging development through incentives.
3. Recognize that monetary policies focus on controlling inflation and money supply, not directly on promoting investment or regional growth.
4. Note that trade restrictions are measures like tariffs or quotas designed to protect domestic industries from foreign competition, which is unrelated to enterprise zones or investor visas.
5. Conclude that enterprise zones and investor visas fall under policies designed to encourage economic development by providing incentives or benefits to businesses and investors.