what is buffer stock ? why was it created by the government? give 5 points
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Ur answer is :-
Buffer stock:- a reserve of a commodity that can be used to offset price fluctuations.
Due to the following reasons, buffer stock is created by the government
(i) A buffer stock of food grains is created by the government, so that it can be distributed in food deficit areas and among the poorer strata of society at a price much lower than the market price.
(ii) A buffer stock also helps to resolve the problem1’ of food shortage during adverse weather conditions, a disaster or a calamity.
(iii) Maintaining buffer stock is a step taken by the government in order to ensure food security.
#riShu:-)
Ur answer is :-
Buffer stock:- a reserve of a commodity that can be used to offset price fluctuations.
Due to the following reasons, buffer stock is created by the government
(i) A buffer stock of food grains is created by the government, so that it can be distributed in food deficit areas and among the poorer strata of society at a price much lower than the market price.
(ii) A buffer stock also helps to resolve the problem1’ of food shortage during adverse weather conditions, a disaster or a calamity.
(iii) Maintaining buffer stock is a step taken by the government in order to ensure food security.
#riShu:-)
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