Multiple choice

In India, rural incomes are generally lower than urban incomes. Which of the following reasons account for this?

  1. A large number of farmers are illiterate and know little about scientific agriculture.
  2. Prices of primary products are lower than those of manufactured products.
  3. Investment in agriculture has been low as compared to investment in industry.

  1. 1, 2 and 3

  2. 1 and 3

  3. 1 and 2

  4. 2 and 3

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Prevailing illiteracy in rural areas is low but it does not lower productivity. The farmer has adequate knowledge of farming techniques. Low prices of primary products compared to the manufactured products and investment in the agriculture sector compared to the industry are major factors which account for low incomes in rural economy than in urban economy.