A country's government would like to raise the price of one its most important agricultural crops, coffee beans. Which of the following government programs will result in higher prices for coffee beans?
A) An import quota on coffee beans
B) An acreage limitation program which provides coffee bean farmers financial incentives to leave some of their acreage idle
C) An import tariff on coffee beans
D) all of the above
Question 2
If a firm had a fixed proportions technology, then the pollution produced by this firm
A) cannot be reduced.
B) can be reduced only by lowering the level of output (holding technology constant).
C) can be reduced by changing how the output is produced within the bounds of the existing technology.
D) can be reduced only by increasing the number of firms in the industry.
E) can be reduced only by changing the technology.
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