Which of the Following Explains Why the Sugar Quota Is

question 7

Multiple Choice

Which of the following explains why the sugar quota is a winning policy for politicians?

• A) The people who are harmed by the quota are rationally informed.
• B) The people who are harmed by the quota have strong incentive to oppose the policy.
• C) The people who benefit from the quota are rationally ignorant.
• D) The people who benefit from the quota have strong incentive to support the policy.

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Definitions:

Demand and Supply

Refers to the economic model that determines the price of goods in a market based on the quantity demanded by consumers and the quantity supplied by producers.

False and Deceptive

Activities or practices that intentionally mislead consumers or misrepresent facts for gain.

Bill of Rights

A collective name for the first ten amendments to the United States Constitution, guaranteeing such rights as the freedoms of speech, assembly, and worship.

Inelastic Demand

A situation in which the demand for a product does not significantly change in response to a change in price.