When a piece of land is leased to a farmer, the land is said to be

When a piece of land is leased to a farmer, the land is said to be

  1. given to him as subsidy
  2. purchase on loan
  3. allocated on a rental basis ✓
  4. given as a gift

Explanation

Leasing land means paying to use it without owning it. The farmer pays rent to the landowner regularly, like monthly or yearly.

The farmer gets to use the land for farming, but the landowner still owns it. This rental arrangement is different from buying land or receiving it as a gift.

A subsidy is free money from the government, not a land arrangement.