Government support for agriculture in the form of price supports and income subsidies is designed PRIMARILY to

Question

Quizplus · Accepted Answer

Price supports and income subsidies are designed to stabilize farm income, which would otherwise fluctuate greatly due to market and weather conditions. This stabilizes food prices for consumers and ensures a consistent supply of food for the nation. It also helps to keep farmers in business and prevent them from going bankrupt during difficult times. While promoting farm conservation and encouraging rural development are important goals, they are not the primary reasons for government support of agriculture through price supports and income subsidies. Encouraging urban development is not a goal of agricultural policy. Increasing farm production to meet the nation's food needs is also not the primary goal, as this can be achieved through other means such as trade and imports.

Government Support for Agriculture in the Form of Price Supports