Refer to the scenario above. The winner of this auction will earn a consumer surplus of ________

Which of the following provides the most reasonable explanation for why agricultural interests lobby for higher farm subsidies and price supports?

a. Without the farm subsidies, food shortages would result. b. Subsidies promote the efficient use of agricultural resources. c. Agricultural interests seek a redistribution of income favoring themselves. d. The price support programs reduce food costs, which helps the poor.

All points on a demand curve are optimal consumption points

a. True b. False Indicate whether the statement is true or false