Choose the best statement.

A. A subsidy to peanut growers lowers peanut growers’ costs, lowers the market price of peanuts, and increases the demand for peanuts.

B. A price support for peanut growers is a guaranteed price for peanuts, which increases the quantity of peanuts produced.

C. A price support and a subsidy to peanut growers will make the peanut market more efficient if the support price is below the market price.

D. For a support price set above the equilibrium price to increase peanut growers’ incomes, they must also receive a subsidy.