(a)(i) Peasant farming is a small scale farming involving the use of simple farm implements. It involves small farm holdings. Production is for both domestic consumption and for export.
(ii) Commercial farming is the large scale farming involving the use of machinery and other forms of capital such as irrigation, improved seedlings and fertilizers. Production is for both domestic and international markets.
(b)(i) Agriculture provides food and therefore reduces importation.
(ii) Agriculture exports provide foreign exchange for development.
(iii) Increased food production helps to keep down the rate of inflation.
(iv)Agriculture provides raw materials for industrial development.
(v) Agriculture provides a market for equipment and other agricultural inputs produced by the industrial sector.
(vi) Agricultural incomes also create a market for manufactured consumer goods.
(vii) Savings obtained from the agricultural sector increase the level of saving in the economy.
(viii) Tax on agricultural incomes yields revenue to government for capital formation.
(ix) Agriculture provides employment for the growing labour force.
(x) Development in agriculture releases excess labour to work in industries.