The agricultural society persuades the government, in the interest of food security, to impose a price floor on loor carrots in order to keep carrot farmers in the business. a. Assess the welfare implications of this measure b. Assess the effectiveness of this measure in keeping farmers in carrot farming.

Exploring Economics
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ISBN:9781544336329
Author:Robert L. Sexton
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Chapter5: Markets In Motion And Price Controls
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The agricultural society persuades the government, in the interest of food security, to impose a price floor on loor carrots in order to keep carrot farmers in the business.

a. Assess the welfare implications of this measure

b. Assess the effectiveness of this measure in keeping farmers in carrot farming.

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