If by "traditional" we mean developing economies---i.e., poorer countries---I would say that (B) "enough to sell in village markets" is the middle ground that is probably most typical. Of course, the poorest farmers in these countries may struggle to grow enough to feed their families, while relatively more prosperous farmers in the same locations may grow enough to feed the whole village or focus on cash crops.
(It's really an empirical question, but it's not phrased precisely enough to be interpreted at that level. Unfortunately, a lot of secondary school social studies content is made so general that it's too vague to have any precise interpretation. This question is an example of that tendency, so you just have to do the best with the material from the course and make the generalization, even though you know it comes with a lot of exceptions.)
