Which are the Agricultural organizations purchasing the farm products from farmers at support prize?
Answers
Explanation:
Every year, farmers produce and sell a certain product at a certain price that is determined by the market. ... So in a case where the market price is lower that the target price for farmers, farmers receive a "deficiency payment", or price support, from the government in order to make up for the difference.
Answer:
Home | CEE | 1st edition | Agricultural Price Supports
[An updated version of this article can be found at Agricultural Subsidy Programs in the 2nd edition.]
Most governments around the world intervene actively in the operation of their agricultural markets. The ways they intervene and the reasons they do so depend in large part on the wealth of the country. Governments in poor Third World countries routinely impose price controls to keep food prices artificially low. They do so to gain favor with their more politically powerful urban residents.