Questions: What does the price of diesel fuel in Russell, KS have to do with the price of bread in Boulder, CO? As the price of bread increases in Colorado, farmers use more and more diesel fuel. This drives up the price of diesel fuel. Since farmers in Kansas use diesel fuel-powered equipment to plant, harvest, and transport grain, an increase in the price of fuel may increase the price of bread. Nothing. All bread in Boulder, CO is produced with grain from locally owned, wind-powered, organic farm cooperatives. As the price of diesel fuel in Kansas increases, the price of bread in Colorado falls because it is cheaper to plant, harvest, and transport grain.

What does the price of diesel fuel in Russell, KS have to do with the price of bread in Boulder, CO? As the price of bread increases in Colorado, farmers use more and more diesel fuel. This drives up the price of diesel fuel. Since farmers in Kansas use diesel fuel-powered equipment to plant, harvest, and transport grain, an increase in the price of fuel may increase the price of bread. Nothing. All bread in Boulder, CO is produced with grain from locally owned, wind-powered, organic farm cooperatives. As the price of diesel fuel in Kansas increases, the price of bread in Colorado falls because it is cheaper to plant, harvest, and transport grain.
Transcript text: What does the price of diesel fuel in Russell, KS have to do with the price of bread in Boulder, CO? As the price of bread increases in Colorado, farmers use more and more diesel fuel. This drives up the price of diesel fuel. Since farmers in Kansas use diesel fuel-powered equipment to plant, harvest, and transport grain, an increase in the price of fuel may increase the price of bread. Nothing. All bread in Boulder, CO is produced with grain from locally owned, wind-powered, organic farm cooperatives. As the price of diesel fuel in Kansas increases, the price of bread in Colorado falls because it is cheaper to plant, harvest, and transport grain.
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Solution

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The answer is the second one: Since farmers in Kansas use diesel fuel-powered equipment to plant, harvest, and transport grain, an increase in the price of fuel may increase the price of bread.

Explanation:

  1. As the price of bread increases in Colorado, farmers use more and more diesel fuel. This drives up the price of diesel fuel.

    • Incorrect. The price of bread increasing does not directly cause farmers to use more diesel fuel. The relationship is more about the cost of production affecting the price of bread.

  2. Since farmers in Kansas use diesel fuel-powered equipment to plant, harvest, and transport grain, an increase in the price of fuel may increase the price of bread.

    • Correct. The cost of diesel fuel affects the cost of farming operations, which can lead to higher grain prices and subsequently higher bread prices.

  3. Nothing. All bread in Boulder, CO is produced with grain from locally owned, wind-powered, organic farm cooperatives.

    • Incorrect. This is an unlikely scenario as it assumes all bread is sourced locally and sustainably, which is not typically the case.

  4. As the price of diesel fuel in Kansas increases, the price of bread in Colorado falls because it is cheaper to plant, harvest, and transport grain.

    • Incorrect. An increase in diesel fuel prices would generally increase costs, not decrease them.

In summary, the price of diesel fuel in Kansas can affect the price of bread in Colorado due to the increased costs of farming and transportation.

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