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Agri-economics causality: Farmers refusing to sell kharif crops to Government vs. reduced procurement price — identify which statement is cause and which is effect.

Difficulty: Easy

Correct Answer: Statement II is the cause and statement I is its effect

Explanation:

Given data

  • I: Farmers decide not to sell their kharif produce to Government agencies.
  • II: Government has reduced the procurement price of kharif crops from last month for six months.

Concept/Approach

  • Price cuts reduce farmers' incentives to sell to the Government, prompting a refusal.

Step-by-Step reasoning
1) Procurement price reduction (II).2) Farmers react by withholding sales to Government (I).3) Hence, (II) → (I).

Verification/Alternative

  • (I) causing (II) would imply farmers' refusal triggered the earlier price cut; the dates contradict that.

Common pitfalls

  • Missing the explicit timing: II began last month; I is a subsequent decision.

Final Answer
Statement II is the cause and statement I is its effect.

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