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In the Roman Empire (27 BC to 476 AD), the emperor bought grain and distributedit for free to inhabitants of Rome. This program, the annona
In the Roman Empire (27 BC to 476 AD), the emperor bought grain and distributedit for free to inhabitants of Rome. This program, theannona, almost certainly involveda price below the market equilibrium( See Peter Temin'sThe Roman Market Economy(2013, Princeton University Press) for more details.) Use a supply and demand diagram to explain why, as a result of this program, Rome's residents frequently pressured authorities foreven more free grain.
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