What is a bumper crop? Explain how fluctuations in farm output lead to large changes in agricultural prices and income.

A bumper crop is referring to unusually large outputs from the farm. Farmers have little control over their output due to floods, droughts, unexpected frost, insect damage, and other factors that can lead to a poor crop. While an excellent growing season means bumper crops, with an inelastic demand for farm products, even small fluctuations in output can cause large changes in their price resulting in large changes in farm income. Inelastic demand means that an increase in the quantity sold will lead to a more than proportionate decline in price and total farm revenue will decline, whereas a decline in output will cause a more than proportionate increase in price and farm income.