How do small farmer obtain capital for farming what is it consequence
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Small farmers obtain capital for farming by borrowing capital or money from big farmers or money lenders to obtain capital for farming who supply various inputs and money for cultivation. Consequences- The rate of interest on such loans is very high, which put the small farmers into great distress to repay the loan.
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Small farmers generally borrow money to arrange the capital for their farming. They borrow it from large farmers, village moneylenders or traders.
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