CAIIB · RB

AGRICULTURE ECONOMY

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Rural Banking (Elective) — CAIIB.

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One-liners from this chapter

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Q

What percentage of India's population is dependent on agriculture as per census data?

A

About 58% of India's population depends on agriculture for livelihood, making it the backbone of the rural economy.

Q

What is the primary sector contribution of agriculture to India's national income?

A

Agriculture contributes about 17-18% to national income.

Q

What is the share of agriculture and allied sectors in India's GDP?

A

Agriculture and allied sectors contribute approximately 17-18% to India's GDP, though this share has declined over decades due to growth in services and industry.

Q

What is the meaning of 'subsistence farming' in the Indian agricultural context?

A

Farming done mainly for the family's own food consumption.

Q

What are the four main categories of land use in Indian agriculture?

A

Land use in India is classified as net sown area, fallow land, forest area, and land not available for cultivation.

Q

What is 'horticulture' and how does it contribute to the Indian rural economy?

A

Cultivation of fruits, vegetables and flowers; boosts rural income significantly.

Q

What is the concept of 'disguised unemployment' in the context of Indian agriculture?

A

Disguised unemployment refers to a situation where more people are engaged in agricultural work than actually required, meaning their marginal productivity is near zero.

Q

What is the definition of 'small farmer' as per RBI priority sector norms?

A

Farmer with landholding of more than 1 hectare but up to 2 hectares.

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