Post Utme Crawford University 2018 Economics Question 26

Practice objective / multiple choice question 26 from the 2018 Post Utme Crawford University Economics examination.

Post Utme Crawford University 2018 Economics Objective / Multiple Choice
Question 26 POST_UTME_CRAWFORD_UNIVERSITY • 2018 • ECONOMICS • objective

The government of Nigeria has implemented a policy to increase agricultural production. The policy includes providing subsidies to farmers, improving irrigation systems, and increa\sing access to credit. However, the policy has also led to an increase in the price of agricultural products. U\sing the concept of opportunity \cost, explain why the government's policy may not be effective in increa\sing agricultural production.

Answer Options

Correct Answer A. The policy has increased the opportunity \cost of producing agricultural products, making it less attractive for farmers to produce.
B. The policy has decreased the opportunity \cost of producing agricultural products, making it more attractive for farmers to produce.
C. The policy has no effect on the opportunity \cost of producing agricultural products.
D. The policy has increased the opportunity \cost of producing other products, making it less attractive for farmers to produce.
Correct Answer
A
Correct Option:
The policy has increased the opportunity \cost of producing agricultural products, making it less attractive for farmers to produce.

About This Question

This is Post Utme Crawford University 2018 Economics Question 26. It is one of the objective questions from the 2018 Post Utme Crawford University Economics examination.

View More Post Utme Crawford University 2018 Economics Questions More Post Utme Crawford University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support