Because the Demand for Food Is Relatively Price Inelastic, What

Multiple Choice

Because the demand for food is relatively price inelastic, what effects would you expect to see as a result of technological advances that reduce the cost of food production?

A) Food prices would rise, but farm incomes would decline.
B) Food prices would rise and farm incomes would rise.
C) Food prices would decline and farm incomes would decline.
D) Food prices would decline, but farm incomes would rise.