1 MARK QUESTIONS

[Link] is the main production activity in Palampur?

→ Farming.
[Link] any two non-farming activities in Palampur.
→ Dairy, small-scale manufacturing.
3. Name the four factors of production.
→ Land, Labour, Capital, and Human capital.
[Link] is physical capital?
→ Tools, machines, and buildings used in production.
5. What is multiple cropping?
→ Growing more than one crop on the same piece of land in a year.
[Link] two crops grown in Palampur during the Kharif season.
→ Jowar and Bajra.(also used as fodder crop)
[Link] two inputs are used in modern farming?
→ HYV seeds and chemical fertilizers.
8. Why do small farmers borrow money?
→ To buy seeds, fertilizers, and irrigation facilities.
9. Which factor of production is most abundant in Palampur?
→ Labour.
10. How is land distributed among farmers in Palampur?
→ Unequally.
11. Which factor of production is man-made?
→ Capital.
[Link] one is a natural resource: land or capital?
→ Land.(fixed)
[Link] is surplus production?
→ Production over and above the farmer’s needs.
[Link] do farmers do with surplus wheat?
→ Sell it in the market.
15. What percentage of people in Palampur are involved in non-
farming activities?
→ About 25%.
16. Name the crop grown during the Rabi season in Palampur.
→ Wheat.
17. What is the minimum wage fixed by the government for a
farm labourer?
→ ₹300
[Link] are the people who work on the land but do not own it?
→ Landless labourers.
19. Which farming method helps to increase production from the
same land?
→ Multiple cropping.
[Link] is the working capital needed by a farmer?
→ Cash, seeds, and fertilizers.
21. Who provides capital to small farmers at high interest rates in
Palampur?
→ Moneylenders or large farmers.
22. What is the role of surplus production in a farmer's income?
→ It is sold in the market to earn income.
[Link] is the market important for the farmers of Palampur?
→ It allows them to sell surplus and buy inputs.
[Link] the dairy activity in Palampur.
→ People rear buffaloes and sell milk in nearby towns or to
cooperatives.
[Link] is expansion of non-farming activities important in villages?
→ To create employment and reduce dependency on farming.
26. What is the standard unit of measuring land area?
→ hectare
27. Local units for measuring land?
→ guinta, bigha

A-R QUESTIONS
Assertion (A): Modern farming methods lead to higher productivity
from the same piece of land.
Reason (R): It uses HYV seeds, chemical fertilizers, pesticides, and
better irrigation facilities.
Answer:
(A) Both A and R are true, and R is the correct explanation of A.
🔸 Question 2
Assertion (A): Land is considered a scarce resource in Palampur.
Reason (R): All cultivable land is already in use; there is no scope for
expansion.
Answer:
(A) Both A and R are true, and R is the correct explanation of A.
🔸 Question 3
Assertion (A): Small farmers in Palampur live a comfortable life.
Reason (R): They get loans at low interest from moneylenders.
Answer:
(D) A is false, but R is true.
(Small farmers often live in poverty and take high-interest loans.)
🔸 Question 4
Assertion (A): The Green Revolution benefited only a few regions
and crops.
Reason (R): HYV seeds were suitable mostly for wheat and required
good irrigation.
Answer:
(A) Both A and R are true, and R is the correct explanation of A.
🔸 Question 5
Assertion (A): Non-farming activities provide employment in rural
areas.
Reason (R): Farming alone cannot provide employment to all rural
people due to limited land.
Answer:
(A) Both A and R are true, and R is the correct explanation of A.
🔸 Question 6
Assertion (A): Labour is the most abundant factor of production in
Palampur.
Reason (R): Many people are willing to work as labourers, but few
jobs are available.
Answer:
(A) Both A and R are true, and R is the correct explanation of A.
🔸 Question 7
Assertion (A): Working capital includes tools and machines used in
production.
Reason (R): Working capital refers to money in hand and raw
materials.
Answer:
(C) A is false, but R is true.
(Tools and machines are part of fixed capital, not working capital.)
2MARK QUESTIONS
1. Mention two facilities available in Palampur village.
→ Electricity, health centre.
2. How is Palampur connected to nearby towns and villages?
→ By roads with transportation such as bullock carts, tongas,
trucks, etc.

3. What is the difference between fixed capital and working

capital?
 → Fixed capital is used for a long time; working capital is used
up during production.
4. Why is human capital considered an important factor of
production?
→ Because it uses knowledge and skills to organize and
combine other factors.
5. How has electricity helped farmers in Palampur?
→ Electric tube wells increased irrigation, helps in the small
scale manufacturing units.
6. Why is land a fixed resource in Palampur?
→ Because all cultivable land is already in use.
7. What are the problems faced due to the use of modern farming
methods?
→ Overuse of chemical inputs and groundwater depletion.
8. Why does modern farming require more capital?
→ Because it involves expensive inputs like HYV seeds,
pesticides, and machinery.
9. Why do farm labourers in Palampur lead a difficult life?
→ They get low wages and irregular employment.
10. Why is land a scarce resource in Palampur?
→ Because there is no further scope for expanding cultivation.
11. How is land different from capital?
→ Land is fixed and natural; capital can be increased and is
man-made.
12. Why should natural resources be used carefully?
→ Because they are limited and overuse harms the
environment.

[Link] are the main reasons why modern farming is not

sustainable?
Modern farming uses chemical fertilizers and pesticides
excessively, which reduces soil fertility over time. It also relies
heavily on groundwater for irrigation, leading to overuse and
depletion of water resources. Hence, while it increases short-term
production, it harms the environment and is not sustainable in the
long run.
[Link] between farm and non-farm activities with
examples.
 Farm activities are related to growing crops and rearing
animals, e.g., wheat cultivation.
 Non-farm activities include all other activities like dairy,
shopkeeping, or small-scale manufacturing, e.g., running a flour
mill or doing carpentry.
Farming depends on land, whereas non-farming may not.
[Link] do large and small farmers differ in terms of capital
availability?
Large farmers have sufficient savings and assets, so they can invest
their own money in farming. In contrast, small farmers often lack
capital and are forced to borrow money from moneylenders or rich
farmers, usually at high interest rates, which leads to debt and
financial pressure.
[Link] problems do landless agricultural labourers face in
Palampur?
Landless labourers depend on others for employment. They often get
work only during the sowing or harvesting seasons, leading to
irregular income. They are paid very low wages and sometimes even
below the government-mandated minimum wage, which leads to
poverty and poor living conditions.
[Link] is there a need to promote non-farm activities in rural
areas?
Agriculture has limited scope for employment as land is fixed and
already used. Promoting non-farm activities like dairy, shopkeeping,
and small-scale industries creates additional employment
opportunities. It also diversifies rural income sources and helps
reduce poverty.
17. How is surplus production beneficial to farmers?
After meeting their family’s consumption needs, farmers sell the
surplus produce in the market. This brings them income, which can be
used for buying seeds, fertilizers, clothes, school fees, or reinvestment
in farming. It also helps improve their standard of living.
[Link] does not own land and works as a labourer on others’
fields. Despite working daily, she remains poor. Why is this so?
Give two reasons.
Sita earns low wages, often below the minimum wage. Also,
agricultural work is seasonal, so she doesn't get work throughout the
year, resulting in irregular income and continued poverty.
[Link] how human capital and physical capital are
interdependent in production, using an example.
A farmer (human capital) uses a tractor (physical capital) to plough
the field. Without skilled labour, machines are useless; and without
tools, labour productivity is low. So, both must work together for
effective production.
[Link] didn’t the Green Revolution help in the growth of pulses
production?
The Green Revolution mainly promoted the use of HYV seeds,
chemical fertilizers, and irrigation, which were developed for
wheat and rice, not for pulses. Since pulses are mostly grown in
rain-fed areas with limited irrigation and received less
government support, their production did not grow as much as
wheat and rice during the Green Revolution.