In the US, the supply of meat from emus, a large bird, is price-elastic. Recently, US farmers have switched to keeping other livestock and growing crops that changed their demand for labour. US farmers are influenced by the subsidies the government provides for the production of selected food items. Some people are reluctant to become farm workers as they think living standards are low in rural areas.

Mark scheme

Marking points from the official mark scheme (Oct/Nov 2023). The mark or mark type is shown in brackets.

1. [2] The percentage change in quantity supplied is greater than the percentage change in price (2).
2. Change in supply is greater than the change in price / PES > 1 (1).
3. [4] One mark each for each of two reasons identified and one mark each for each of two explanations.
4. Logical explanation which might include:
5. Increase output (1) overcome a shortage (1).
6. Reduce price / cost (1) help consumers / reduce poverty / give access to a basic necessity / make food more affordable (1).
7. Increase quality (1) improve nutrition / increase health of population / raise life expectancy (1).
8. Increase incomes of farmers / farm workers (1) raise their living standards of farmers / stop farmers going out of business (1).
9. Reduce imports of food / increase exports of food (1) improve the current account of the balance of payments / agriculture is a strategic industry / reduce dependency on other countries for an essential good (1).
10. Increase employment / reduce unemployment (1) help in rural areas (1).
11. [6] Coherent analysis which might include:
12. Demand for the food they produce (1) derived demand / a higher demand for food will encourage farmers to expand their output / employ more workers (1) more profits earned (1).
13. Wage rates (1) the lower the wage rate, the less it will cost to employ workers (1).
14. Skills of workers (1) the more skilled workers are, the more productive they will be (1).
15. Price of other factors of production / costs of production (1) if the price of e.g. agricultural drones falls, demand for labour may fall (1).
16. Productivity of other factors of production (1) advances in technology may result in farm workers being replaced by machinery (1).
17. Type of farming (1) some farming is more labour-intensive / capital-intensive (1).
18. Size of farm (1) large farms likely to employ more (1).
19. Subsidies (1) subsides may encourage a farmer to expand output and employ more workers (1).
20. Seasons (1) demand for labour is likely to be higher during harvesting (1).
21. [8] The answer may be from the view of why people living in rural areas may have a higher living standard.
22. Why they might:
23. may be more job opportunities
24. may be higher incomes
25. may be more forms of entertainment
26. may be shorter distance to schools and shops
27. may be more access to healthcare facilities
28. may be better quality education/ healthcare.
29. Why they might not:
30. may be more traffic congestion
31. may be overcrowding
32. air and noise pollution levels may be higher
33. stress may be high
34. higher cost of living in cities.