How might a drought that destroys half of the farm crops be good for farmers? If such a drought is good for farmers, why don't farmers destroy their own crops in the absence of a drought?
2007-02-27 15:25:42 · 3 answers · asked by Super S 1 in Education & Reference ➔ Homework Help
There would be less supplies so the farmer must sell his crops for a higher price. More money = more profit.
2007-02-27 15:31:03 · answer #1 · answered by blackyholey 3 · 0⤊ 1⤋
The guy above is right that if the drought destroyed all the farms in that area... that market would be low on supply of crops. Therefore, the demand for them would be higher because there is a shortage. Thus the prices will sky-rocket quite possibly causing farmers to earn even more money than they would of before. However, farmers would not destroy there own crops because they know they wouldn't all be in agreement about it. If all of them want to hike their prices there is going to be one farmer that says hey, I'll just keep all my crops and sell at a slightly lower prices and I'll make a killing!
2007-02-27 23:38:24 · answer #2 · answered by IronLionZion86 2 · 0⤊ 0⤋
since there is a limited amount available they will sell to whoever offers the most money, and the rich will pay through the nose to get what's there. the farmers end up selling only to th richer half of the population at sky high prices.
2007-02-27 23:44:30 · answer #3 · answered by implosion13 4 · 0⤊ 0⤋