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Why Would a Bumper Crop Be Bad News for Farmers

Question 133

Multiple Choice

Why would a bumper crop be bad news for farmers?


A) Their crop has an inelastic demand and the resulting drop in price reduces their total revenue.
B) Their crop has an elastic demand and the resulting drop in price reduces their total revenue.
C) Their crop has an inelastic demand and the resulting drop in price raises their total revenue.
D) Their crop has an elastic demand and the resulting drop in price raises their total revenue.

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