Supply restrictions in the farming industry occur in the form of
A)Price supports.
B)Acreage set-asides.
C)Countercyclical payments.

Question

Quizplus · Accepted Answer

Acreage set-asides are a supply restriction measure that involves farmers voluntarily taking a portion of their land out of production in exchange for payment. This reduces the supply of certain crops in the market, driving up prices for remaining crops. Price supports and countercyclical payments are forms of financial assistance for farmers and do not directly restrict supply.

Supply Restrictions in the Farming Industry Occur in the Form