Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 20 - Agriculture: Economics and Policy - Discussion Questions: 2

Answer

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Work Step by Step

There are high costs for farmers regardless of whether they are making crops, so even if they are losing money, it makes sense for farmers to produce crops. This makes the supply inelastic.
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