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    Exam 39: Agriculture: Problems, Policies, and Unintended Effects
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    Exhibit 39-9 -Refer to Exhibit 39-9.Under a Target Price System,with the Target
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Exhibit 39-9 -Refer to Exhibit 39-9.Under a Target Price System,with the Target

Question 116

Question 116

Multiple Choice

Exhibit 39-9
Exhibit 39-9    -Refer to Exhibit 39-9.Under a target price system,with the target price set at P<sub>1</sub>,the per-unit deficiency payment will be: A)  P<sub>2</sub> - P<sub>4</sub>. B)  P<sub>1</sub> - P<sub>3</sub>. C)  P<sub>2</sub> - P<sub>3</sub>. D)  P<sub>1</sub> - P<sub>2</sub>. E)  none of the above
-Refer to Exhibit 39-9.Under a target price system,with the target price set at P1,the per-unit deficiency payment will be:


A) P2 - P4.
B) P1 - P3.
C) P2 - P3.
D) P1 - P2.
E) none of the above

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