Read the following passage carefully:
To mitigate systemic agrarian distress in drought-prone semi-arid regions, state policy advisors have proposed replacing flat electricity subsidies for agricultural pump-sets with a direct conditional cash transfer linked to soil moisture sensors. Under this scheme, farmers receive a fixed quarterly income support stipend, but only if their groundwater extraction does not exceed a localized seasonal quota determined by real-time aquifer monitoring. Proponents argue that replacing price-distorting energy subsidies with baseline income transfers will incentivize farmers to shift from water-intensive cash crops to drought-resilient millets, thereby preventing rapid aquifer depletion while preserving farm incomes. However, critics point out that electricity subsidies currently cushion smallholders against volatile diesel costs during dry spells.
Which one of the following expresses the most crucial underlying assumption on which the policy advisors' proposal is based?
- Farmers' cropping decisions in semi-arid regions are substantially influenced by the financial structure of energy subsidies rather than unalterable market or ecological constraints.Cevap
- BDirect conditional cash transfers provide greater overall financial stability to smallholder farmers than flat electricity subsidies during severe drought years.
- CDrought-resilient millets command higher market prices and consumer demand in urban centers than traditional water-intensive cash crops.
- DInstalling real-time soil moisture sensors will completely eliminate unauthorized groundwater extraction across all agricultural holdings.