(a) Explain the following: (i) Peasant farming (ii) commercial farming (iii) State farming (b) In...
(a) Explain the following: (i) Peasant farming (ii) commercial farming (iii) State farming
(b) In what two ways will increased commercial farming contribute to the development of the economy of your country?
Explanation
(a)(i) Peasant farming: A system of agriculture in which the farms are small and owned by individual families. The farms are often run below an economically efficient size. (ii) Commercial farming: This is a system of agriculture characterized by large expanse of land holdings with production solely for the market. It involves the usage of huge capital, mechanization and processing of raw materials.
(iii) State farming: This is a system of agriculture in which the state, through its agencies, engages in large scale farming for both local and foreign markets.
(b)Commercial farming contributes to development in the following ways:
(i) It will make available more raw materials for agro-based industries.
(ii) With increases in the production of export crops, the country's foreign exchange earnings will increase.
(iii) Commercial farming tends to be capital intensive. It will therefore increase the capital stock of the country.
(iv) If the increase in output covers food crops hitherto imported, foreign exchange will be conserved.
(v) There will be an increase in the GDP and the standard of living will rise. (vi) Commercial farming will employ a large number of people thereby reducing unemployment.