The cotton farms of Country Q became so productive that the market could not absorb all that they produced. Consequently, cotton prices fell. The government tried to boost cotton prices by offering farmers who took 25 percent of their cotton acreage out of production direct support payments up to a specified maximum per farm.
The government's program, if successful, will not be a net burden on the budget. Which of the following, if true, is the best basis for an explanation of how this could be so?
Depressed cotton prices meant operating losses for cotton farms, and the government lost revenue from taxes on farm profits.
Cotton production in several countries other than Q declined slightly the year that the support-payment program went into effect in Q.
The first year that the support-payment program was in effect, cotton acreage in Q was 5% below its level in the base year for the program.
The specified maximum per farm meant that for very large cotton farms the support payments were less per acre for those acres that were withdrawn from production than they were for smaller farms.
Farmers who wished to qualify for support payments could not use the cotton acreage that was withdrawn from production to grow any other crop.
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解释题。政府为了刺激棉花涨价给农民补贴(财政支出增加),但结果要保证no net burden on the budget,所以这个决策必须带来财政收入。只有A提到了收入:棉花价格低政府税收就会减少,而现在通过减产价格涨了,税收就会增加。可以解释
解释题。政府为了刺激棉花涨价给农民补贴(财政支出增加),但结果要保证no net burden on the budget,所以这个决策必须带来财政收入。只有A提到了收入:棉花价格低政府税收就会减少,而现在通过减产价格涨了,税收就会增加。可以解释。
竟然错了哎
虽然想到了解题的关键就是找到一种情况使得政府收入增加,注意关键词,not be a net burden
解释题。政府为了刺激棉花涨价给农民补贴(财政支出增加),但结果要保证no net burden on the budget,所以这个决策必须带来财政收入。只有A提到了收入:棉花价格低政府税收就会减少,而现在通过减产价格涨了,税收就会增加。可以解释。