Government Subsidies to California Cotton Farmers

Government subsidies to California cotton farmers:

A) create deadweight losses because the billions of dollars of resources used to grow cotton in deserts could be put to higher-valued uses.
B) correct a market failure because cotton prices are too low to support cotton farmers.
C) raise prices to consumers and lower prices received by cotton farmers.
D) benefit California cotton buyers because they pay only a small fraction of the world price.