HORTICULTURE

HORTICULTURE SCIENCE

GENERAL AGRICULTURE

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
When does the government subsidize prices or pay for farmers to have empty fields?
A
want to donate the surplus to LDCs
B
they don’t do that because we are a free market system
C
The government plays no role in agricutlure
D
to compensate for overproduction to prevent inflation
Explanation: 

Detailed explanation-1: -Governments have employed various measures to maintain farm prices and incomes above what the market would otherwise have yielded. They have included tariffs or import levies, import quotas, export subsidies, direct payments to farmers, and limitations on production.

Detailed explanation-2: -Agricultural subsidy means the benefit given to the farmers for using new and advanced technologies and producing more food grains. They provide an incentive for adoption of new technology by the farmers specially the small farmers. It assures farmer against the risk of new technology.

Detailed explanation-3: -It Stimulate agricultural production. Compensate for high costs of transport from port or factory to farms that raise costs of inputs. Improve soil quality and combat soil degradation (in the case of fertilizer).

There is 1 question to complete.