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      Question

      To protect farmers from financial distress during crop

      failures, the government provides compensation through which of the following mechanisms?
      A Buffer stock Correct Answer Incorrect Answer
      B Crop insurance scheme Correct Answer Incorrect Answer
      C Income insurance Correct Answer Incorrect Answer
      D Mutual funds Correct Answer Incorrect Answer
      E Debt waivers Correct Answer Incorrect Answer

      Solution

      Crop insurance schemes help stabilize farmer income by compensating them for yield losses caused by natural calamities, pests, and diseases.

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