Social Science (087) — AI-generated practice question

Crop insurance protects farmers against losses due to drought, flood, cyclone, fire, and disease, ensuring financial security after natural disasters.

Grameen banks provide loan facilities at lower rates of interest, reducing farmers' dependence on moneylenders who charge high interest.

Cooperative societies also offer credit support and collective resources, helping small and marginal farmers manage agricultural risks and reduce exploitation by middlemen.

Together, these institutional measures safeguard farmers' income and encourage investment in agriculture.

Source: Technological and Institutional Reforms, Chapter 4

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• The answer is directly from the passage on institutional reforms — stick to what is stated; do not add external information.
• Examiners expect one clear point per mechanism (crop insurance → natural calamities; Grameen banks → low-interest loans; cooperatives → credit/collective support).
• Mentioning "lower rates of interest" and listing the risks covered (drought, flood, cyclone, fire, disease) shows textbook accuracy and fetches full marks.