Farm programs that pay farmers not to plant crops on all their land
A) hurt farmers by lowering their total revenue and hurt consumers by causing shortages of some food items.
B) help farmers by cutting costs,which helps consumers by lowering food prices.
C) help farmers by increasing total revenue in the market but hurt consumers by raising prices.
D) help farmers directly since they receive government payments but have no real effects on consumers.

Question

Quizplus · Accepted Answer

These programs reduce the supply of crops, which can lead to higher market prices, thus increasing farmers' total revenue while potentially raising prices for consumers.

Farm Programs That Pay Farmers Not to Plant Crops on All