If a Farmer Faces a Drop in the Rent He

question 13

Multiple Choice

If a farmer faces a drop in the rent he must pay for his land, he will react to this by:

• A)dropping the price of his crop.
• B)trying to move to a point on the production function where he uses more land and less of other inputs.
• C)substituting away from land to inputs with higher marginal products.
• D)shifting to another part of the production function where the marginal product of land is higher.
• E)increasing the price of his crop.

---

Definitions:

Social Responsibility

The ethical framework suggesting that an entity, be it an organization or individual, has an obligation to act for the benefit of society at large.

Lawrence Kohlberg

A psychologist best known for his theory of stages of moral development, which describes the progression of moral reasoning through different stages.

Agnosia

A condition where a person is unable to recognize and identify objects or persons despite having normal sensory functions.

Apraxia

A motor disorder caused by damage to the brain, in which individuals have difficulty with the motor planning to perform tasks or movements when asked, despite understanding the request and having the desire to perform the task.