Target Exam

CUET

Subject

Economics

Chapter

Indian Economic Development: Rural Development

Question:

In the question given below there are 2 statements marked as Assertion (A) and Reason (R). Choose the correct alternative from the following options.

Assertion (A)- Diversification of agriculture includes two aspects - one relates to change in cropping pattern and the other relates to a shift of workforce from agriculture to other allied activities and non-agriculture sector

Reason (R)- Diversification has the potential to reduce the income of farmers due to increase in market risk because of price fluctuation.

Options:

Both (A) and (R) are true and (R) is the correct explanation.

Both (A) and (R) are true but (R) is not the correct explanation of (A).

 (A) is true but (R) is false.           

(A) Is false but (R) is true.             

Correct Answer:

 (A) is true but (R) is false.           

Explanation:

The correct answer is option 3:  (A) Is true but (R) is false.          

Diversification arises from the fact that there is greater risk in depending exclusively on farming for livelihood. Diversification towards new areas is necessary to reduce the risk from agriculture sector to provide productive sustainable livelihood options to rural people. Thus, diversification has the potential to increase the income of farmers and to reduce the risks of farmers.