Output constraints have been very successful in reducing the supply of farm products.

Question

Quizplus · Accepted Answer

Output constraints, such as production quotas or acreage limitations, can reduce the supply of farm products in the short term, but they do not necessarily lead to long-term success in balancing supply and demand or increasing farmer income. They can also lead to unintended consequences such as increased prices for consumers, inefficiencies in production, and negative environmental impacts.

Output Constraints Have Been Very Successful in Reducing the Supply