Brazil and Colombia attempt to control the supply of coffee in the world market to help stabilise their incomes.
What condition is essential for this to stabilise their incomes effectively?
1 )
There must be large firms in the industry.
It must be possible to store the coffee and release stocks when necessary.
3 )
Other countries must supply a significant percentage of the total market.
4 )
The demand for the product must be elastic.
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