What impact do price controls on food crops have in the developing world?
A) They eliminate elite ownership of the land.
B) They cause degradation of land, especially in the tropics.
C) They cause developed world countries to stop sending food to hungry countries.
D) They free up credit (loans) from the developed world.
E) They create disincentives to produce for farmers.

Question

Quizplus · Accepted Answer

Price controls on food crops create disincentives for farmers to produce, as they may not be able to make a profit on their crops. This can lead to decreased production and potential food shortages in the developing world.

What Impact Do Price Controls on Food Crops Have in the Developing