Question

Which of the following are true about subsidies in the agricultural sector
during 1950-1990 in India?
(A) Subsidies were needed to encourage farmers to test the new technology
(B) Subsidy largely benefits the farmers in the more prosperous regions
(C) Eliminating subsidies will increase inequality between rich and poor farmers and violate
the goal of equity
(D) Most farmers are very poor and they will not be able to afford the required inputs without
subsidies
Choose the correct answer from the options given below:

• A. (A), (B), and (D) only
• B. (A), (B), and (C) only
• C. (A), (B), (C), and (D)
• D. (B), (C), and (D) only

Answer 1

Answer: (C)

(A), (B), (C), and (D)

Answer 2

All statements are correct regarding subsidies in India's agricultural sector during 1950-1990.