What is the reason why large, short-run declines in farm prices do not significantly reduce farm production in the short run?
A) Farmers' variable costs are high compared with their fixed costs.
B) Farmers' fixed costs are high compared with their variable costs.
C) Farmers' prices received are greater than prices paid for agricultural products.
D) Farmers' prices paid are greater than prices received for agricultural products.
Correct Answer:
Verified
Q143: The inelastic demand for agricultural products means
Q144: Q145: The short-run instability in the prices of Q146: The increase in the productivity of U.S. Q147: Incomes of U.S. farmers tend to be Q149: Q150: Which of the following statements about U.S. Q151: When fixed costs are high relative to Q152: When increases in the supply of an Q153: Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
