Swapan, a small farmer, grows groundnut on her three acre of land .she takes
a loan from the moneylender to meet the expenses of cultivation, hoping that
the harvested would help repay the loan. Midway through the season the crop
is hit by pests and the crop fails .Through swapan sprays her crops with
expensive pesticides, it makes little difference. She is unable to repay the
moneylender and the debt grows over the year into a large amount.Next year,
Swapan takes a fresh loan for cultivation. it is a normal crop this year .But the
earning are not enough to cover the old loan,. She is cost is debt. She has to
sell a part of the land to pay off the debt.
Answer the following MCQ by choosing the most appropriate option.
(i) The phases given related to which of the following
a. Collateral credit b. Credit recovery is very painful
c. Failure of crops d. Credit is somewhere beneficial
(ii) According to the Swapanfaced which of the following options.
a. The crop is hit by pets and the crop fails b. Credit left her worse off
c. We had to sell a part of the land to pay off the Debt d. All of these
(iii) Referred to an arrangement in which the lender supplies the with money
goods and service in return for the prom
ise of future payment
a. Term and Credit b. Credit c. Depositor d. Borrowers
(iv) The above of passage is an example of
a. Collateral b. Debt trap
c. Credit plays a virtual and positive role d. None of these
(v) How many acre land Sapna have;
a. one acre b. two acre c. three acre d. four acre
Answers
Answer:
Sometimes, credit may play a negative role in the borrower. Thus, whether credit would be useful or not, depends on the situation. Let us take an example to support this fact.
Sometimes, credit may play a negative role in the borrower. Thus, whether credit would be useful or not, depends on the situation. Let us take an example to support this fact.Swapna is a small farmer in a village. She grows groundnut in her three acres of land.
Sometimes, credit may play a negative role in the borrower. Thus, whether credit would be useful or not, depends on the situation. Let us take an example to support this fact.Swapna is a small farmer in a village. She grows groundnut in her three acres of land. In order to meet the expenses of cultivation, she takes a loan from the moneylender with the hope that her harvest would help her in repaying the loan. Just through the midway of the season, the crop is hit by pests and the crop fails. Though she tried hard to save the crop by spraying expensive pesticides. But it makes very little difference. Under such circumstances, she is unable to repay the moneylender. As a result, the debt grows over the year into a large amount.