Very Short Answer Type Questions
Question. The main objective of a private sector enterprise is ________.
Answer : To earn a profit.
Question. Which sector does utilise natural resources directly?
Answer : Primary sector.
Question. Insurance and education is an example of :
Answer : Tertiary sector.
Question. Which of the following sector do not produce goods?
d. None of these
Answer : c. Tertiary
Question. Write any two examples of activities under secondary sector.
Answer : Manufacturing, Construction
Question. What is the new name of Planning commission?
Answer : Niti Aayog
Question. Find odd man out in followings
Police Constable, Postman, Tailor, Factory worker
Answer : Factory worker
Question. In which sector most of the workers enjoy job security?
Answer : Organised sector
Question. Using examples from your area contrast the activities and functions of private and public sectors.
Answer : Private sector: ownership with individual, motive to earn more profit poor people cannot afford.
Public Sector: Government owns, motive is welfare, all people can afford.
Question. GDP is the total value of ————– produced in a particular year.
Answer : All goods and services
Question. Correct the following statement and rewrite.
When more people work in a job than required it is known as seasonal employment.
Answer : When more people work in a job than required it is known as hidden disguised unemployment.
Question. Why is secondary sector called industrial sector ?
Answer : Since this sector gets associated with various kind of industries in the course of production, that is why it is also called industrial sector.
Question. Where do we find majority of workers from scheduled castes, tribes and backward communities?
Answer : The unorganised sector.
Question. Why is tertiary sector called service sector ?
Answer : As the tertiary sector produces services unlike the primary and secondary sector which produce goods, it is also called service sector.
Question. What type of goods and services are included for calculation of GDP in India?
Answer : All the final goods and services are included for calculation of GDP in India.
Question. What is the main motive of private sector organisations?
Answer : Profit.
Question. Which sectors does the tertiary sector give support to ?
Answer : Primary and secondary sector.
Short Answer Type Questions
Question. What are the basic features of unorganised sector?
Answer : a. Working hours are more and harsh
b. No job security
c. Poor working conditions
Question. How did NREGA bring upliftment in rural people?
Answer : a. Guaranteed employment
b. Guaranteed wages
c. Guaranteed Allowances
Question. Highlight the three sectors responsible for the growth of service sector in Indian economy.
Answer : a. Increase in income of the people
b. Increase in population
c. Increase in number of working women
Question. Explain the working conditions of workers in unorganised sector.
Answer : a. Not controlled by government
b. Rules and regulations not followed
c. Jobs are low-paid, irregular
d. Poor working conditions
e. Employment not secure
No provisions of paid leave, holidays
Question. Explain the meaning of disguised unemployment with the help of one example each from rural and urban area.
Answer : People work but hidden employment, work less than their potential.
Rural: More people employment than needed
Urban: Casual workers in service sector
Question. Why is the tertiary sector becoming more important in India ? Explain.
Answer : The tertiary sector becoming more important in India because of following reasons :
(i) Developing country like India is responsible for the basic services like hospitals, education, post and telegraph, courts, etc.
(ii) The development of primary and secondary sectors increases the demand for services such as transport, trade, storage.
(iii) Demand for tourism, shopping, private schools, private hospitals, etc. increases with the increase in the level of income.
(iv) Rapid growth of services sector also benefitted from external demand such as software industry and call centre services.
(v) Liberalisation of financial sector provided an environment for faster growth of financial services.
Question. Why is the value of only final goods and services counted while calculating GDP ?
Answer : While calculating the Gross Domestic Product (GDP) the value of only final goods and services is counted because the value of final goods and services already includes the value of all the intermediate goods that are used in making the final good. For example, the value of bread already includes the value of flour and labour used in the making of bread. If all these values are separately calculated and added, they will amount to double counting and will present false picture of GDP.
Question. Do you agree that agriculture in India takes place in the unorganised sector? Give three points.
Answer : Yes, I do agree that Indian agriculture is mostly concentrated in the unorganised sector. Following are the reasons:
(i) Agriculture in India faces the problem of disguised unemployment on a large scale and there is lack of alternative employment opportunities in agriculture sector. So this shows that agriculture is in unorganized sector.
(ii) There is no social security available to the farmers. If the crop of the farmers fails, they don’t have any other avenue to get it compensated.
(iii) Most of the farmers are dependent for credit upon moneylenders. They have to pay very high interest on such loans and are usually exploited. They don’t have reach to bank’s credit due to insufficient documents.
Question. How do we calculate the value of various goods and services and know the total production in each sector ?
Answer : In India, the task of measuring GDP is undertaken by a central government body known as CSO or the Central Statistics Office. This department, with the help of various government departments of all the Indian states and union territories, collects information relating to total volume and prices of various goods and services produced in different sectors. The value of all the final goods and services produced in each sector during a particular year provides the total production of the sector for that year. The sum of production in all the three sectors gives what is called the Gross Domestic Product (GDP) of a country.
Question. How can employment opportunities be generated in the tourism and information technology sectors ?
Answer : (i) The government must promote business as tourism helps a lot of Indian states and their artisans to earn recognition and income. (ii) Tourist places, hotels, roads, etc. infrastructure should be prepared for attracting more tourists. (iii) Government should frame policies for providing job opportunities in IT Sector like BPOs. (iv) Tourism and IT sector at present is booming in India which are providing more job opportunities to younger generation, artists, etc.
Long Answer Type Questions
Question. What are the ways to increase more employment for the people in rural India ?
Answer : Unemployment is a very serious problem which is being faced by India since the advent of Britishers and especially since independence. The government has to take many effective steps to increase the employment in the country. Following are the various steps which can be taken by the government to increase employment :
(i) The government may provide cheap credit facilities to the people so that they can buy necessary implements for their occupations. The farmers may build wells or tube-wells, buy tractors or other equipment for farming, better seeds, fertilizers and other nutrients for the agriculture. This all has employment generating effects.
(ii) The government may build better infrastructure in terms of transportation, electricity and communication etc. This will help in better and assured production and easier movement of goods from one place to another. This encourages the farmers and producers to expand the market for their products.
(iii) The government must identify the potential industries in rural areas which may utilise the agricultural crops produced there and invite the entrepreneurs to start such industries there.
(iv) Government may improve irrigation facilities so that farmers may harvest two or three crops in a year. This will increase employment.
(v) Government may initiate some more employment programme which require mental work rather than physical work like elder education programme etc.
Question. Write any five features of an organized sector.
Answer : Following are the various features of organised sector:
(i) Organised sector includes those organisations where the terms of employment are certain and people get regular and assured work.
(ii) These organisations are registered by the government.
(iii) They have to follow rules and regulations framed by it such as the Factories Act, Minimum Wages Act, Payment of Gratuity Act, Shops and Establishments Act etc.
(iv) They give many kinds of job benefits to its employees.
(v) Working conditions are very conducive in organized sector.
Question. What historical changes have been brought about in the primary, secondary and tertiary sectors ?
Answer : (i) Primary Sector :
(a) As the methods of farming changed and the agricultural sector began to prosper, it produced much more food than before.
(b) Many people could now take up other activities. Buying and selling activities increased many times.
(c) However, at this stage most of the goods produced were natural products from the primary sector and most people were also employed in this sector.
(ii) Secondary Sector :
(a) Over a long time, and especially because new methods of manufacturing were introduced, factories came up and started expanding.
(b) Those people who had earlier worked on farms now began to work in factories in large numbers.
(c) Secondary sector gradually became the most important sector in the total production and employment.
(d) Hence, over time, a shift had taken place. This means that the importance of the sectors had changed.
(iii) Tertiary Sector :
(a) In the past 100 years, there has been a further shift from secondary to tertiary sector in developed countries.
(b) The service sector has become the most important sector, in terms of total production.
(c) Most of the working people are also employed in the service sector. This is the general pattern observed in developed countries.
Question. Pavan is a poor agriculture labourer in a village. He wants to migrate to city in search of better employment opportunities. Can you suggest some ways through which his migration for better employment opportunities be stopped ?
Answer : Following are the various steps which can provide better employment opportunities to Pavan in his own area :
(i) Pavan may take some land on rent and start his own farming instead of working on others’ farms. He can also open a shop for daily need items.
(ii) The government may provide cheap credit facilities to him so that he can buy necessary implements for his farm like tractors or other equipment for farming, better seeds, fertilizers and other nutrients, wells or tube-wells etc. or stock for his shop. All this has employment generating effects.
(iii) He may also attend some vocational training programmes being run by the government and start some other occupation like repairing, tailoring etc.
(iv) The government must identify the potential industries in rural areas which may utilise the agricultural crops produced there and invite the entrepreneurs to start such industries there. These industries may employ excess labour force employed in agriculture.
Question. Explain how public sector contributes to the economic development of a nation.
Answer : Following are the various ways in which the public sector contributes to the development of the nation :
(i) The public sector is responsible for developing basic infrastructure which helps in development of all the sectors of the economy. Hence, the public sector undertakes generation of electricity, construction of roads, bridges, railways, harbours, and providing irrigation through dams etc. The expenditure incurred on developing such facilities is tremendous which may not be possible for private sector.
(ii) The government supports the provision of various services to the general public in the form of subsidies. For example, for the availability of fertilisers to farmers at lower prices, the government provides production subsidy to fertiliser companies. Similar examples are cooking gas, diesel, electricity etc.
(iii) The government provides support to farmers by helping them in the form of procurement of farm products like wheat, rice and pulses. Such products are then made available to people through ration shops.
(iv) The government provides various such other services like medical care, education, drinking water, sanitation, housing facilities to poor and other administrative services for the proper running of the country etc.
(v) The public sector generates many employment opportunities.