Update

Muft Shiksha™ एक 100% Free Education Portal है 🇮🇳, जिसका उद्देश्य Class 9–12 के हर विद्यार्थी तक High-Quality Education को पूरी तरह मुफ्त पहुँचाना है। 🇮🇳 हम मानते हैं कि अच्छी शिक्षा किसी student की आर्थिक स्थिति पर निर्भर नहीं होनी चाहिए। 🇮🇳 हर विद्यार्थी को वही Quality Study Material, MCQs, Quizzes, Exam Preparation, Concept-Based Learning और Bilingual Support मिलना चाहिए, जो आमतौर पर महंगी Coaching या Premium Platforms में मिलता है। Muft Shiksha™ 🇮🇳 इसी सोच के साथ बनाया गया है

Subjects
0 reads0 ratings0 helpful

Which is a better way to deal with high volatility in agricultural market prices?

Answer and explanation

Correct answer: Using storage, diversification and market information

The direct answer is B: use storage, diversification and market information. Agricultural prices can rise or fall because of supply, demand, weather, transport, imports and changing consumer needs. A farmer cannot remove this uncertainty completely, but can manage it. Storage may allow sale when prices improve, provided the produce is safe and storage costs are reasonable. Diversification means growing different crops or combining crops with livestock or other activities, so one poor price does not destroy all income. Market information helps the farmer compare prices, buyers and selling times. Option A is wrong because rumours are unreliable and may cause a bad sale. Option B is correct because it combines practical risk-management tools. Option C is wrong because weather strongly affects production and prices; ignoring it increases risk. Option D is wrong because records help calculate costs, yields, loans and profits. Memory cue: price risk is managed with information, options and time—not guesses.

Related tags

AgriculturePrice-VolatilityStorageMarket-Information

Was this question useful?

No ratings yetWrite a review / Rate this question

Student Reviews

No published reviews yet.

Add Muft Shiksha to your Home Screen

In Safari, tap Share, then Add to Home Screen.