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Q.

Choose the statement that is true/false:


Small farmers borrow the most.


see full answer

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a

True

b

False 

answer is A.

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Detailed Solution

The above statement is true.
Due to their small grain production and the fact that most of it is eaten by them, small farmers borrow the most money. They don't have much left to sell. As a result, they make very little profit and cannot purchase the necessary capital and other items without taking out a loan. Since they only have a little plot of land to work on, they create a tiny surplus and cannot sell any of it. They must borrow money from big farmers or moneylenders to pay for their needs.
 
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