Answer:Example 1: Drought
Drought is a major problem that many farmers face, especially in dry and arid climates. Subsidies can help farmers through this situation by providing financial assistance to help them purchase water, such as through grants or tax credits. The government can also provide assistance in the form of loans to help farmers purchase irrigation equipment or fund the construction of water storage facilities. In addition, some governments provide subsidies to farmers to help them access alternative water sources, such as desalination plants.
Example 2: Pests and Disease
Pests and disease can have a devastating effect on farm production and profitability. Subsidies can help farmers in this situation by providing financial assistance to purchase pesticides, fungicides, and other chemicals to protect crops from insect infestations and disease. Governments may also provide subsidies to cover the cost of using specialized equipment and services to help farmers control pests and diseases, such as infrared thermography or aerial crop dusting. In addition, some governments provide subsidies to farmers to help them access new crop varieties that are resistant to pests and disease.
Step-by-step explanation: