A bumper crop of farm products causes:

A. only a slight decline in the price of farm products because the demand for farm products is
income inelastic.
B. a large decline in the price of farm products because the demand for farm products is price
inelastic.
C. only a slight decline in the price of farm products because the demand for farm products is
income elastic.
D. a large decline in the price of farm products because the demand for farm products is price
elastic.


Answer: B

Economics

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