Given below are two statements :
Statement I: Changing competition in market place is the primary reason for govt involvement in business globally.
Statement II: Increase in cost of production is the primary reason for govt in business globally.
In the light of the above statements, choose the most appropriate answer from the options given below :

Option C is the correct answer. Statement I is correct but Statement II is incorrect

Statement I: Changing competition in the marketplace can indeed drive government involvement in businesses globally. Governments may intervene to ensure fair competition, prevent monopolies, protect consumer interests, and promote economic stability. This makes Statement I correct.

Statement II: While an increase in production costs might lead businesses to seek government support (e.g., subsidies or incentives), it is not the primary reason for government involvement. Governments typically get involved to regulate the market, ensure equitable distribution of resources, or address market failures, not just to manage production costs. This makes Statement II incorrect.