If the demand curve is inelastic, a rise in the supply of grain will result in a decrease in the overall income received by grain producers.
The ability of firms to enter and exit a market over time means that, in the long run, the supply curve is more elastic.
Two basic economic concepts are combined in the law of supply and demand to explain how shifts in the price of a resource, good, or service affect its supply and demand. As the price rises, supply increases while demand decreases. On the other hand, as the price falls, demand increases and supply becomes more limited.
The degree to which changes in price translate into changes in demand and supply is known as the product's price elasticity.
Basic consumer demand is comparatively inelastic, or less responsive to price changes.
Discover the long-term impact of population growth on supply and demand: https://brainly.com/question/13353440
By the way, your question might confuse some users so for everyone's information, it's a "fill in the blank" and here's how it suppose to look like:
"An increase in the supply of grain will reduce the total revenue grain producers receive if ______________."
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