Question

Part 1. Instructions:

A. Please mark T if the statement is true, F otherwise on the scantron answer form.

B. If a statement is false, make sure to correct the statement to make it true.

1. A strict control over the import of sugar is an example of government policy.

2. The stability of prices & farm incomes has been a reason for concerns/problems of US of agriculture.

3. Demand for food products in general are price inelastic. The implication of this is that if productivity increases in agricultur, lower price can cause lower farm income.

4. Countries are becoming more dependent on each other due to globalization.

5. As a result of technological advances, farm prices tend to be high.

6. Low priced commodities generally tend to hae inelastic demand.

7. High priced goods tend to have elastic demand.

8. The price elasticity of demand is always positive.

9. Elasticity of supply is always positive.

10. The basic disciplines of policy process come from economics, politics, and ethics.

11. In economics, policy allocates resources.

12. Politicians are elected to make value judgements.

13. In politics money does the allocating.

14. School lunch is an example of a policy.

15. To have healthy and productive society is an example of a policy.

Answer 1

1. A strict control over the import of sugar is an example of government policy.
True

2. The stability of prices & farm incomes has been a reason for concerns/problems of US of agriculture.
False
The instability of prices & farm incomes has been a reason for concerns/problems of US of agriculture.

3. Demand for food products in general are price inelastic. The implication of this is that if productivity increases in agricultur, lower price can cause lower farm income.
True

4. Countries are becoming more dependent on each other due to globalization.
True