Multiple choice

What step does the government take if due to more production the prices of the crops fall?

  1. The government fixes the minimum price for chief crops to avoid exploitation of farmers.

  2. The government fixes the maximum price for chief crops to benefit the traders.

  3. The government distributes the crops free of cost in the public.

  4. The government itself starts consuming the maximum of the crops.
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A Correct answer
Explanation

If the to more production the prices of crops fall then govt. fixes two minimum prices for the chief crops to avoid exploitation of farmers.

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