Tag: capital

how small farmers manage the capital needed for farming

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how small farmers manage the capital needed for farming插图

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Most small farmersborrow moneyfor the requirement of capital. They borrow money from large farmers or traders that they supply various raw materials for cultivation of land or moneylenders within the village. These moneylenders charge a high rate of interest on the amount borrowed.

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  • How do small medium and large farmers arrange capital needed for farming?

  • How do small, medium and large farmers arrange capital needed for farming? Most small farmers borrow money for the requirement of capital. They borrow money from large farmers or traders that they supply various raw materials for cultivation of land or moneylenders within the village.

  • What are the three capital assets required in a farm?

  • This article throws light upon the three important capital assets required in a farm. The capital assets are: 1. Farm Buildings 2. Irrigation 3. Farm Machinery. Capital Asset # 1. Farm Buildings: Livestock need to be protected from the in-clemencies of weather.

  • Why do small farmers have to borrow money?

  • Most small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the village moneylenders or the traders who supply various inputs for cultivation. The rate of interest on such loans is very high and these farmers are in great stress to repay the loans taken.

  • What are the disadvantages of loan to small farmers?

  • Consequences- The rate of interest on such loans is very high, which put the small farmers into great distress to repay the loan. Small farmers obtain capital for farming by borrowing capital or money from big farmers or money lenders to obtain capital for farming who supply various inputs and money for cultivation.

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    how do small farmers obtain capital for farming

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    how do small farmers obtain capital for farming插图

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    Small farmers obtain capital for farming byborrowing capital or money from big farmers or money lendersto obtain capital for farming who supply various inputs and money for cultivation. Consequences- The rate of interest on such loans is very high, which put the small farmers into great distress to repay the loan.

    People also ask


  • Why do small farmers have to borrow money to arrange capital?

  • Most small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the moneylenders or the traders whd supply various inputs for cultivation. The rate of interest on such loans is very high. The small farmers are put to great distress to repay the loan. Question 11.

  • How do small farmers get money to start farming?

  • Most of the small farmers borrow money from the moneylenders or traders to arrange the capital. The moneylenders and traders charge a high rate of interest from the farmers. Medium and large farmers have their own savings from the farming. They also get loans from the banks. Question 8. What problems do farm labourers face in terms of unemployment?

  • How is the capital arranged by Indian farmers?

  • 鈥楥apital is a basic need in agriculture.鈥?How is it arranged by Indian farmers? Explain. Most of the small farmers borrow money from the moneylenders or traders to arrange the capital. The moneylenders and traders charge a high rate of interest from the farmers.

  • How do farmers increase the fixed capital of their village?

  • They also use savings for lending to small farmers and other persons in the village. A part of their earnings is used to increase their fixed capital like tractor, thresher, cattle etc. Question 4. Distinguish between Fixed, Working and Human Capital.

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    how do medium and large farmers obtain capital for farming

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    how do medium and large farmers obtain capital for farming插图

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    Basically, the medium farmers large farmers obtain capital from farming by theselling the produce in markets earning money and starting a secondary capital source. It is truly different from small farmers as medium large farmers are able to arrange capital on their own while these small farmers have to take loans from banks moneylenders.

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  • How is it different from obtaining capital by large farmers?

  • How is it different from obtaining capital by small farmers? Answer:The medium and large farmers have their own savings from farming.In contrast, the small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the village moneylenders or the traders who supply various inputs for cultivation

  • How do medium and large farmers differ from small farmers?

  • (i) The medium and large farmers have their own savings from farming. They are thus able to arrange for the capital needed. (ii) In contrast, the small farmers have to borrow money to arrange for the capital.

  • How do small and large farmers meet the money requirements?

  • Whereas on the other hand ,medium and large farmers have a high productivity and so, they keep… The money requirements of small and large farmers are met by borrowing money from large farmers or the village moneylenders or the traders who supply various inputs for cultivation, which have a high interest.

  • Why do medium and large farmers take loan from Fanning?

  • The rate of interest on such loans is very high and these farmers are in great stress to repay the loans taken. (ii) In contrast to the small farmers, medium and large farmers have their own savings from fanning. They use this savings to arrange for next year’s capital and make high profits by selling surplus production and earning higher amounts.

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