CUET Preparation Today
| Why do tenants lack incentives to make improvements on land? |
They have limited resources for investments. The landowners benefit more from higher output. They are not legally allowed to make improvements. Both 1 and 2 |
| The landowners benefit more from higher output. |
| The tenants lack the incentive to make improvements on land because the landowners would benefit more from the increased output, as they are the ones who own the land. |
