The correct option is A Statements II and III
Deforestation is defined as a process which converts a forested area into a non- forested area. Population explosion leads to increased demand for land to produce food, build houses and other infrastructure. This leads to deforestation.
Thus, statement I is correct.
The present scenario of deforestation is particularly grim in India. At the beginning of the twentieth century, forests covered about 30 percent of the land. By the end of the century, it had shrunk to 21.54 percent.
Hence statement II is incorrect.
Deforestation also causes disturbances in the hydrological cycle by decreasing precipitation. Every tree in the forest is a fountain, sucking water out of the ground through its roots and releasing water vapor into the atmosphere through pores in its foliage. Thus, deforestation decreases the water vapor concentration in the atmosphere instead of increasing it.
Hence statement III is incorrect.
Deforestation removes the trees which hold the soil together by their roots. Removal of trees leaves the soil bare to the wind and other elements which leads to desertification since the top fertile soil is blown, dried out or washed away by the rain.
Thus, statement IV is correct.