Eco401 Gdb 1 Idea SOLUTION

Solution

Pricing is the most important part of any industry as it determines

that how successful your venture is. Appropriate price policy should
be implemented by taking into consideration both the consumer and
producer.
In our situation Govt. have to opt a strategy that makes the profit to the
producers without impacting too much to its consumers. Govt's strategy
should be to provide the maximum reliefs to the production industry.

Govt. should lower the prices of the materials that are used in the
production of the major crops like fertilizers, seeds and insects killing
sprays. Govt. should make the process of bringing the produced crops to
the markets very easy and affordable and buy those crops from the
markets on a suitable price which proves to be fruitful for the producers
for their hard work.

And if the prices of goods feel a bit too much for the buyers, it
should be subsidized. This will provide relief to consumers, and
they will not be affected.

This will boost the agriculture industry and more investors will
opt agriculture industry.
By using this strategy, Govt. can motivate people to get in the
agriculture industry and they can make profits in this industry.