O Levels Economics (2281)•2281/12/M/J/18

Explanation
Financial Barriers in Subsistence Farming
Steps:
- Identify the core challenge: subsistence farmers produce just enough for survival, leaving no surplus for investments.
- Recognize economic reality: poverty cycles prevent access to credit or savings needed for machinery.
- Evaluate choices: only option A directly addresses inability to afford tools that boost output.
- Confirm: rural poor's low income explains the absence of productivity-enhancing equipment.
Why A is correct:
- Subsistence farming relies on self-sufficiency, where limited income (a basic economic constraint) blocks capital for machinery purchases, per principles of agricultural economics.
Why the others are wrong:
- B: Overproduction affects market farmers, not self-sustaining subsistence ones who rarely sell surplus.
- C: Large families are common in rural areas to provide labor, not a barrier to land work.
- D: Women often perform most agricultural labor in these households, so this does not explain machinery gaps.
Final answer: A
Topic: Poverty
Practice more O Levels Economics (2281) questions on mMCQ.me