Which of the following can drive up food costs?
A) Futures markets
B) Non-food end use of commodity crops, such as ethanol production from maize
C) Exporting food for higher profits
D) Floods, droughts, and storms
E) All of these can cause increases in the price of food.

Question

Quizplus · Accepted Answer

All the options listed can contribute to an increase in food costs. Futures markets can affect prices through speculation, non-food uses of crops can reduce the supply available for food, exporting food can reduce domestic supply and increase prices, and natural disasters can damage crops, reducing supply and increasing prices.

Which of the Following Can Drive Up Food Costs