CBSE · Class 11 · Economics · Indian Economy 1950-1990What is meant by 'subsidy' in agriculture?
Step-by-Step Solution
A subsidy is financial assistance provided by the government to farmers to reduce the cost of inputs like fertilizers, electricity, and seeds.
Detailed Options Breakdown
Option : Tax collected from farmers
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Indian Economy 1950-1990.
Option 1: Financial support to reduce input costs (Correct Answer)
Correct choice. Refer to the step-by-step verified solution guidelines above for details.
Option 2: Price ceiling on agricultural goods
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Indian Economy 1950-1990.
Option 3: Export duty on crops
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Indian Economy 1950-1990.
💡 Study Guide: This question tests core syllabus concepts from Indian Economy 1950-1990. For formulas, key summaries, and mock exam reference guides, read the full Indian Economy 1950-1990 Revision Notes.