Suppose farmers get together and decide to be less productive. They want to do this so that they can shift the supply curve of farm products leftward and raise the price. What are the thoughts of a profit-maximizing farmer most likely to be once this agreement has been made?
A) If I break the agreement while everyone else holds to it, I can make myself better off.
B) I am happy that we decided to be unproductive; I can't be unproductive by myself.
C) I will definitely hold to the agreement.
D) Everyone will break the agreement but me.
A
You might also like to view...
A fall in the price of pesticide use in the production of cotton will
A) decrease the supply of cotton, causing the supply curve of cotton to shift to the left. B) increase the supply of cotton, causing the supply curve of cotton to shift to the left. C) cause a downward movement along the supply curve of cotton. D) have no effect on the supply of cotton. E) None of the above
One of the major reasons why nations trade is that
A. nations choose to trade for largely unknown reasons. B. resources are not equally distributed across the planet. C. nations wish to exert cultural influence abroad. D. nations wish to copy others and need imports to study.