A Subsidy on the Sellers of Coffee

question 78

Multiple Choice

A subsidy on the sellers of coffee:

• A)increases the size of the coffee market
• B)reduces the size of the coffee market
• C)has no effect on the size of the coffee market
• D)the benefit will accrue entirely to the sellers of coffee

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Definitions:

Basic Necessities

fundamental needs required for sustaining human life, including food, water, shelter, and clothing.

Deprived

refers to a lack of the necessary resources, rights, goods or capabilities which are considered normal or sufficient by the society in which an individual, group or area lives.

Human Needs

Fundamental requirements necessary for individuals to live a healthy and fulfilling life, including physiological, safety, love/belonging, esteem, and self-actualization needs.

Culture

A complex blend of values, beliefs, languages, rituals, and traditions that defines the social behavior and norms found in human societies.