Which of the following will encourage capital intensive farming

Step 1: Analyze the question The question asks what will encourage capital-intensive farming. Capital-intensive farming means using more capital (machinery, tractors, fertilizers, irrigation equipment) relative to labour.

Step 2: Explain the concept Capital-intensive production happens when capital is cheaper, more available, or more profitable to use than labour. So anything that lowers the cost of capital goods or makes them easier to get will push farmers toward this method.

Step 3: Evaluate each option

• A. Communal land ownership: Land is shared and fragmented, so farmers cannot easily use large machines or get loans with land as collateral. This discourages capital-intensive farming.
• B. Rural-urban migration: Farm labour leaves the villages. This could indirectly push farmers toward machines, but it is not a policy that encourages capital investment. It usually just reduces farm output. It is not the best answer.
• C. Subsidies on equipment: Subsidies reduce the price of tractors, harvesters, and similar tools, so farmers can afford more of them. This directly encourages capital-intensive farming.
• D. Restrictive lending policies by banks: Farmers cannot borrow to buy equipment, which discourages capital investment.

Step 4: Answer

Tip: For "what will encourage..." questions on production methods, look for the option that directly lowers cost or raises availability of the factor involved. Capital means subsidies, cheap loans, and tax relief. Be careful with distractors like rural-urban migration, which sounds related but does not directly promote investment in capital.