Which of the following is one reason why the income of small family farms has decreased over time?
A)Decreased capital costs and increased labour costs has made it easier for small farms to compete with large ones.
B)The demand for farm products is price elastic.
C)The demand for farm products is income inelastic.
D)The Canadian population has increased greatly since 1960.

Question

Quizplus · Accepted Answer

The demand for farm products is price elastic, meaning that a small change in price will lead to a large change in quantity demanded. This means that when the price of farm products falls, farmers will sell less of their products, which will lead to a decrease in their income.

Which of the Following Is One Reason Why the Income