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The Change from Subsistence Farming to Cash Crops

question 23

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The change from subsistence farming to cash crops:


Definitions:

Capital Goods

Long-term assets used by businesses to produce goods and services, such as machinery, buildings, and equipment.

Consumer Goods

Products bought by the final consumer for personal use.

Law of Increasing Opportunity Costs

An economic principle that states as production of a good or service increases, the opportunity cost of producing another unit also increases.

Particular Good

A specific item or product that satisfies consumers' needs or wants, distinguishable from general categories or types of goods.

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