Multiple Choice QuestionWhich of the following suggests that farmers should obtain a constant ratio of the prices they receive for their farm products and the prices they pay for goods and services in general?Multiple choice question.An annual farm subsidyThe price-support systemThe parity conceptAn imposed price floor
Question
Multiple Choice QuestionWhich of the following suggests that farmers should obtain a constant ratio of the prices they receive for their farm products and the prices they pay for goods and services in general?Multiple choice question.An annual farm subsidyThe price-support systemThe parity conceptAn imposed price floor
Solution
The answer is "The parity concept". This concept suggests that farmers should maintain a constant ratio between the prices they receive for their farm products and the prices they pay for goods and services in general. This is to ensure that farmers are not disadvantaged by fluctuations in the market and can maintain a stable income.
Similar Questions
Multiple Choice QuestionThe price-support strategy exacerbated which of the following problems?Multiple choice question.The presence of too many farmers in the marketThe hazardous conditions faced by agricultural workersThe low prices farmers received for their outputThe inability of consumers to afford agricultural products
Which of the following summarizes the economics of price supports?Multiple choice question.Variable pricing above equilibrium prices on farm products aids in achieving parity between prices received and paid by farmers for farm products.Fixed pricing above equilibrium prices on farm products aids in achieving parity between prices received and paid by farmers for farm products.Fixed pricing at equilibrium prices on farm products aids in achieving parity between prices received and paid by farmers for farm products.Fixed pricing below equilibrium prices on farm products aids in achieving parity between prices received and paid by farmers for farm products.
Multiple Choice QuestionMarketing loans, direct payments, and countercyclical payments are various forms of farm subsidies provided by ______.Multiple choice question.the Agricultural Price Support System enacted 60 years agothe Freedom to Farm Act of 1996the Freedom to Farm Act of 2008the Food, Conservation, and Energy Act of 2008
Multiple Choice QuestionThe ______ eliminated price supports and acreage allotments for many of the nation's crops, while continuing direct subsidies to farmers.Multiple choice question.Average Crop Revenue Election ProgramFood, Conservation, and Energy Act of 2008Agricultural Price Support System of 1947Freedom to Farm Act of 1996
Multiple Choice QuestionWhich of the following has failed to keep pace with technologically created increases in the supply of farm products?Multiple choice question.PricesGrowth in the demand for farm productsDecreases in the demand for farm productsGrowth in the elasticity for farm products
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.