📝 Multiple Choice Question
Economics
What is the economic justification for subsidies in the agriculture sector?
A
It is mostly used to provide benefits for rich farmers.
B
It is a part of government expenditure in the service sector.
C
It is an incentive to provide the benefits of advanced technology and decrease the cost of production.
D
It is used to provide benefits for capital goods producers in agriculture.
Explanation
Agricultural subsidies are designed to make critical inputs like fertilizers and machinery affordable, encouraging farmers to adopt modern techniques and boost overall food production.
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