The Agricultural Adjustment Act of 1933 was based on the belief that farm incomes would improve if
A)Parity prices were eliminated.
B)Acreage set-asides were eliminated.
C)Parity prices were restored.
D)Acreage set-asides were reduced.

Question

Quizplus · Accepted Answer

The Agricultural Adjustment Act of 1933 aimed to increase farm income by restoring parity prices - essentially, ensuring that farmers received fair prices for their products in relation to the cost of production. This was achieved through a system of government price supports, which helped stabilize crop prices and reduce surpluses. Eliminating acreage set-asides would have had the opposite effect - it would have encouraged farmers to plant more crops, potentially exacerbating the problem of oversupply and driving down prices even further.

The Agricultural Adjustment Act of 1933 Was Based on the Belief