Assuming the demand for their products is inelastic,farmers (as a group)have an incentive to
A)increase the supply of what they sell.
B)agree among themselves to decrease the supply of what they sell.
C)spend at least 10 percent of their budgets to advertise their products.
D)b and c
E)a and c

Question

Quizplus · Accepted Answer

When demand is inelastic, decreasing supply can lead to higher prices and increased total revenue for farmers, as consumers are less sensitive to price changes.

Assuming the Demand for Their Products Is Inelastic,farmers (As a Group)have