Why were farmers at Village - 1 at a better state than those at Village - 2 ?

Explanation

Farmers at Village - 1 are at better state than those at Village - 2 because
1) They conserve the water by converting a existing tank into percolation tank. As a result, water situation is much better than Village - 2.
2) Dug wells were converted into bore wells to reduce loss of water by surface evaporation.
3) By selecting dry land crops using less water expenditure on irrigation was reduced.