Story of Village Palampur
Q1. Give an example of fixed physical capital.
Ans. Farmer’s plough
Q2. Which factor of production is fixed and scarce?
Ans. Land is fixed and scarce.
Q3. Name the third crop grown in Palampur as a part of multiple
Q4. During which season do farmers of Palampur grow jowar and
Ans. During the rainy season (kharif) farmers grow
jowar and bajra.
Q5. What is the standard unit of measuring land?
Ans. The standard unit of measuring land is hectare.
Q6. What are the examples of working capital?
Ans. Raw materials and money in hand are called
Q7. How did the introduction of green revolution affect the cost
Ans. The cost of cultivation went up due to the
introduction of Green Revolution.
Q8. What is the importance of human capital?
Ans. Human capital is important because some level of
human knowledge and skills is necessary to increase productivity and thus
Q9. Mention any two characteristics of modern farming.
Ans. Two characteristics of modern farming:
Use of HYV seeds
Use of chemical fertilizers and pesticides
Q10. Why are farm labourers like Dala and Ramkali poor?
Ans. Farm labourers like Dala and Ramkali are poor
because they are landless and due to heavy competition for work among the farm
labourers they are paid low wages.
Q11. What is meant by non-farm activities? Explain with examples.
Ans. In villages across India, farming is the main production
activity. The other production activities, referred to as non-farm activities
include small manufacturing, transport, shop-keeping, etc.
Q12. What is the working capital required by the farmer using
modern farming methods?
Ans. The working capital required by the farmer using
modern farming methods are raw material and money. Some money is always
required during production to make payments and buy other necessary items.
Q13. Modern farming methods require the farmer to start with
more cash than before. Why?
Ans. Modern farming methods require the use of HYV
seeds which needs chemical fertilizers and pesticides to procure best result
and increased production. In order to buy all these inputs a lot of money is
needed. Thus, farmer needs to have more cash to start farming.
Q14. What are the non-farm production activities taking place in
your region? Make a short list.
Ans. The non-farm production activities taking place
in our region are:
Q15. Construct a table on the distribution of land among the 450
Number of Families
Area of land cultivated
less than 2 hectares
more than 2 hectares
Q16. Why do so many families of farmers cultivate such small plots
land is divided among family members continuously and as a result each member
of the family gets smaller plot of the land. Since land is fixed and there is
no scope of bringing new land under cultivation, farmers are forced to
cultivate small plots of land.
Q17. Why are the wages for farm labourers in Palampur less than
Why are the wages for farm labourers less than minimum wages?
Ans. There are many landless farm labourers who work
on daily wages in Palampur. The minimum wages for a farm labourer set by the
government is Rs 115 (April, 2011) per day. There is heavy competition for work
among the farm labourers in Palampur, so people agree to work for lower wages.