Question

Why does extensive commercial farming need more capital?

Answer 1

1. A large farm is required for the commercial farming.
2. This type of farming is carried out with the help of machines like tractors, crushers, etc. Helicopters or planes are also used for spraying pesticides. 
3. In this type of farming, huge expenditures are needed for the purchase of machinery, fertilizers, pesticides, goods, transportation, etc. Therefore, extensive commercial farming needs more capital