what is dept trap? why most of the indian farme do sucide? (class 9) i need answer in points
Answers
Dept trap is a sitution in which a farmer cannot repay there loan to the moneylander which they borrow for there agriculture
Answer:
Dept Trap
Dept trap is a situation where a framer is not able repay the money which he had borrowed.
(i) Every loan is agreement of a belief that farmers could repay the money that he borrowed.But due to the certain issues a farmer may not be in the situation to repay this money to the lender.
(ii) Usually in that case a farmer falls in a dept tarp from where it is very difficult yo escape and usually these situation make the farmers helpless .Therefore, The loan had not done anything good to the farmer ,On the other hand it has made the worst off.
(iii) Sometimes , the farmers are left with nothing and he falls to the mental distress .They had to sell a part of the land in order to overcome the situation .Therefore, banks and cooperatives have to lend more.
(iv) In such a case farmers commit suicide,In order to escape from the situation as there are no more ways in front of them.Hence, government banks and cooperatives should give more loans to the poor farmers at a low interest rate