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Read the following passage and answer the items that follow. Your answers to these items should be based on the passages only.
In India, agriculture still engages about half of workforce, and about 85 per cent of its farms mall and marginal. Compared to China Vietnam, which have experienced fast structural and rural transformation, India's story is of slow transformation. As a result, poverty reduction in India was at a much slower pace during 1988—2014, compared to China and Vietnam. India's poverty reduction was slow during 1988-2005, but during 2005-2012, it accelerated dramatically—almost three times faster than during the earlier period. What did India do during this period? Research reveals that the relative price scenario changed significantly (by more than 50%) in favour of agriculture in the wake of rising global prices. This boosted private investments in agriculture by more than 5o%. As a result, agri-GDP growth touched 4/1% during 2007-2012 as against 2.4% during 2002—2007. The net surplus or agri-trade touched $25 billion in 2013-2014: real farm wages rose by 7% per annum. All this led to unprecedented fall in poverty.
Which one of the following statements best reflects the critical message of the passage?
India should create large- scale off-farm rural employment to reduce poverty in the near future.
India should create a large number of farmer producer companies
Private investment in agriculture should be given priority over public investment.
Inclusive agricultural growth is key to reduce poverty in the near future.
Sol. Ans.(d). Theme is “Agri prices and poverty reduction”.
The passage does not talk about ‘off-farm rural employment’, ‘farmer produce companies’ or the priority of private investment in agriculture over public. These are not mentioned anywhere at all, and it would be a pure assumption to consider them relevant.
So options (a), (b) and (c) are ruled out.
The passage clearly implies that the rate of poverty reduction was higher when the growth rate of agri-GDP was more. Hence option (d) is correct.
By: Brijesh Kumar ProfileResourcesReport error
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