Question

how do the medium and large farmers obtain capital for farming how it is different from the small farmers ​

Answer 1

Explanation:

(i) The medium and large farmers have their own savings from farming. They are thus able to arrange for the capital needed.

(ii) In contrast, the small farmers have to borrow money to arrange for the capital. They borrow from large farmers or the village moneylenders or the traders who supply various inputs for cultivation.

(iii) The rate of interest on such loans is very high. They are put in great distress to repay the loan, which is not so in .the case of medium and large farmers.

Answer 2

Hi your answer...

(i)Medium and large farmers obtain capital for farming from their own savings or from the banks as loan. (ii)Small farmers on the other hand borrow from large farmers or the village moneylenders or the traders, who supply various inputs for cultivation. The interest on such loans are usually high.

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