Concept:Capital intensive farming uses more machinery and equipment than labour.
It is encouraged when the cost of using capital is reduced.
Explanation:Providing subsidies on equipment lowers the purchase cost of machines for farmers.
This makes modern tools and tractors more affordable for farmers.
Cheaper equipment encourages farmers to replace manual labour with machines.
Thus, agricultural production becomes more capital intensive.
On the other hand, communal land ownership and rural-urban migration do not promote investment in farm machinery.
Restrictive lending policies by banks reduce farmers' access to loans needed to buy equipment.
Therefore, the correct option is the provision of subsidies on equipment.
Answer:C. provision of subsidies on equipment