Question

Which of the following contributed to rural poverty?

Answer 1

The answer would be B. corporate farming

Answer 2

The correct answer is B) Corporate farming.

The activity that contributed to rural poverty was corporate farming.

Corporate farming is the agriculture activity that big private companies do. They have a economy of scale that allows competitive prices, distribution advantages and can cover many regions. These companies and the practices of corporate farming has contributed to rural poverty because local and small farmers don’t have the means of production to compete with the big farming companies. Neither the local farmers can offer the amount of product and the cheap prices that big companies can offer.