Answer:
True
Step-by-step explanation:
The agricultural input sector is a major part of agribusiness. It provides farmers with the feed, seed, credit, machinery, fil, chemicals, etc., that they need to operate. It is generally felt that the improvement in the quality of these purchased inputs has been a significant source of productivity guns for the entire system. Input suppliers provide producers with substantial quantities of purchased inputs.
The total level of purchased inputs devoted to agriculture has changed now a day. An example of a purchased input whose use has changed drastically is energy. The list change in energy use came with the shift from human to animal power and mechanical power, especially internal combustion engines and electric motors.
The second shift occurred as farmers moved to more fuel-clinician equipment in response to rising energy prices. This movement kept on-farm energy consumption nearly constant over the last decade despite increasing production. AL the distribution level, the agricultural input sector comprises many small, independent, locally-owned businesses. In particular input industries such as chemicals and machinery, a few companies handle most of the business at the production level.
The trend toward greater use of specialized purchased input is expected to continue and should be an ongoing source of productivity gains for agricultural production. However, it is essential to remember that this increasing dependence on purchased inputs uses agricultural producers more sensitive to changes in agribusiness and the general economy.
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