Impact on the production of maize

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Reference no: EM131114800

Suppose that a government that is the sole buyer of a crop offers farmers $2.00 per ton of maize (corn), while the market price across the border is $2.50 per ton. What will be the impact on the production of maize? Will it affect the production of other crops? Will the government likely be able to buy all the output?

Reference no: EM131114800

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