ECONOMICS
ECONOMIC DEVELOPMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Cottage agriculture
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Market agriculture (agribusiness)
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Subsistence agriculture
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Slash and burn agriculture
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Detailed explanation-1: -Once a crop is seeded, for example, farmers have limited ability to alter the quantities they put on the market. Therefore, in the short-term, market supply is relatively inelastic or unresponsive.
Detailed explanation-2: -Solution. Production of agricultural commodities depends on natural factors such as rainfall, climatic conditions etc. Due to unforeseen changes in weather, the agricultural productions is low, then their supply cannot be increased even at a higher price.
Detailed explanation-3: -Factors leading to rise of prices of agricultural products mainly include tension of supply-demand relationship, promotion of production cost and circulation cost, and speculation of Refugee Capital (Hot Money).
Detailed explanation-4: -The supply of agricultural commodity is relatively inelastic.