Wheat farmers in Kansas would benefit from a devastating crop failure in North Dakota (another major wheat-producing state)if the U.S.demand for wheat is
A)inelastic
B)elastic
C)unit elastic
D)downward sloping
E)perfectly elastic

Question

Quizplus · Accepted Answer

If the demand for wheat is inelastic, a crop failure in North Dakota would reduce the overall supply of wheat, causing a significant increase in the price of wheat. As a result, Kansas farmers would not only supply more wheat to meet the demand but also benefit from the higher price, thereby increasing their revenue.

Wheat Farmers in Kansas Would Benefit from a Devastating Crop