Output of food grain in India at one stage was less than its domestic demand. Now it is not. Does it mean that the law of diminishing returns has failed in Indian agriculture?

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Yes

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A
No

No. Rise in output of food grain in India is owing to the use of new technology (related to HYV seeds). When there is an improvement in technology, the occurence of the law of diminishing returns is deferred for some time. It does not mean that the law of diminishing returns has failed. It only postponement of law. The law is bound to set-in again once the effect of new technology is exhausted.

Suggest Corrections

Similar questions

Q. Why is India surplus in food grains though its output is lower than that of deficient Russia. What value does it depict?

Q. It is more profitable for the producer to be in a stage of increasing returns than the stage of diminishing returns.

Q. When law of diminishing returns is a universal law, why is AP found to be much higher in developed economies like of US than in less developed economies like of India? Give two reasons.

Q. "Petrol is becoming cheaper, yet the demand for cars is not rising."

Does it means that, the law of demand is not operative?

Statement: Should the government ban export of all types of food grains for the next one year to tide over the unpredicted drought situation in the country?

Arguments:

I. Yes, there is no other way to provide food to its citizens during the year.

II. No, the government does not have its jurisdiction over private exporters for banning export.

III. Yes, the government should not allow the exporters export food grains and procure all the food grains held by such exporters and make it available for home consumption.

Join BYJU'S Learning Program