Question

how do the larger farners use their earnings from their surplus​

Answer 1

Large farmers have surplus cash by selling their farm products. since they have their land and house therefore they get cash easily from banks. on the other hand small farmers have to be dependent on local merchants and money lender for loan. on the other hand they may not get loans from banks

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Answer 2

Large farmers have surplus cash by selling their farm products. since they have their land and house therefore they get cash easily from banks. on the other hand small farmers have to be dependent on local merchants and money lender for loan. on the other hand they may not get loans from banks.

The large and the medium farmers do the following things with their earnings which they get from their surplus farm produce:

1.They lend it to the small farmers who require loans to buy the equipment necessary for their farm production.

2.They also use the money to buy the fixed capitals like modern tractors,harvesters etc.for their next year's farm production. They also buy equipment like HYV seeds ,chemical fertilizers,pesticides etc.