In India, which of the following can be considered as public investment in agriculture? 1. Fixing Minimum Support Price for agricultural produce of all crops. 2. Computerization of Primary Agricultural Credit Societies 3. Social Capital development 4. Free electricity supply to farmers 5. Waiver of agricultural loans by the banking system 6. Setting up of cold storage facilities by the governments. Select the correct answer using the code given below.
- A. 1, 2 and 5 only
- B. 1, 3, 4 and 5 only
- C. 2, 3 and 6 only
- D. 1, 2, 3, 4, 5 and 6
Answer: C
Explanation
Public Investment here refers to the creation of either physical infrastructure or intangible capital. Hence in this context, investment is understood as either infrastructure-related capital as given in options 2 and 6 or social capital as given in option 3. Subsidies and loan waivers are not investments. Hence option 1 is not correct (There is scope for elimination here). Hence option (c) is the correct answer. Similarly, option 4 (subisdy) and 5 are not correct.