how does small farmer manage their capital in village palampur? Answer in 100words
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1
Answer:
➡️ Big farmers use their previous year's surplus as a capital for the next year.
➡️ Small farmers have to borrow money to arrange for capital.
Explanation:
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3
Answer:
Most small farmers borrow money for the requirement of capital. They borrow money from large farmers or traders that they supply various raw materials for cultivation of land or moneylenders within the village. These moneylenders charge a high rate of interest on the amount borrowed. On the other hand, medium and large farmers are able to manage the required capital with their own savings from farming.
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