If a decrease in the demand for corn leads to economic losses for corn farmers,
A) some existing corn farmers will exit the industry.
B) the price of corn will remain low in the long run due to the economic losses.
C) the suppliers of corn will suffer long-run economic losses.
D) all of the above are correct.

Question

Quizplus · Accepted Answer

In the long run, some corn farmers will exit the industry due to economic losses, reducing supply and potentially restoring prices to a level where remaining farmers can cover their costs.

If a Decrease in the Demand for Corn Leads to Economic