I am confused about the solution for first statement in the options. The questions asks whether there has been a significant impact on the
, while in the paragraph it has been mentioned that when the average level of rural schooling was below 4.3 years, investment in education "
This means that productivity did increase just that the growth in productivity was substantially reduced. How can this be classified as having a negative impact on the productivity itself which is asked in the question ?
Official Solution: Bunuel
For each of the following, select
Significant if the factor listed is identified as having a significant impact—positive or negative—on agricultural productivity in India between 1980 and 2008. Otherwise, select
Not significant.
Investment in rural education where the average level of schooling was below 4.3 years • Tab 1 states that when the average level of rural schooling was below 4.3 years, investment in education
substantially reduced productivity growth and
limited the effectiveness of education investments. Although the effect was negative, the impact was clearly identified and material, making it a
significant negative factor in productivity outcomes.
Public investment in agricultural research and higher education • Tab 1 identifies this as the most impactful factor on productivity growth, especially in the northern, western, and central States. It quantifies the return as ₹18.34 in benefits for every ₹1 invested. This clearly establishes it as a
significant positive factor in agricultural productivity.
Access to credit and farm advisory programs • Tab 1 states that these support services expanded considerably during the period, but explicitly notes that they did not show a measurable effect on productivity growth. Since no causal impact is identified, this is not a significant factor in driving productivity improvements.
Correct answer: Investment in rural education where the average level of schooling was below 4.3 years.
"Significant"Public investment in agricultural research and higher education
"Significant"Access to credit and farm advisory programs
"Not significant"