Sectors of Indian Economy | CBSE Class 10, Social Science - Economics | NCERT guide | Intext and Sample Questions


Class 10 NCERT (CBSE) Social Science Economics (Understanding Economic Development)
Class 10, Sectors of Indian Economy
Solutions of NCERT Textbook Exercise
Q.1: Explain the difference between primary, secondary and tertiary sectors using examples other than those mentioned in the text.  
Primary Sector - This includes those activities that are undertaken by directly using natural resources e.g. the cultivation of wheat. This is known as primary sector because it forms the base of all subsequent products that are made from it. The primary sector is also called Agriculture and Related Sector.
Secondary Sector - This sector covers those activities in which natural and primary products are changed into other forms through ways of manufacturing e.g. manufacturing paper from bamboo plant, Iron ore to steel etc. This sector is also known as Industrial Sector.
Tertiary Sector - This includes those activities that help in the development of the primary and secondary sectors e.g. railways, shopkeeper, lawyer etc. Since they provide services to help the production so, this sector is also called services sector.   
Q.2: Classify the following list of occupations under Primary, Secondary and Tertiary Sectors: Tailor, Workers in match factory, Basket weaver, Money lender, Flower cultivator, Gardener, Milk vendor, Potter, Fisherman, Bee-keeper, Priest, astronaut, Courier, Call center employee.
Primary Sector: Flower cultivator, Gardener, Fisherman, Bee-keeper
Secondary Sector: Workers in match factory, Basket weaver, Potter
Tertiary Sector: Tailor, Milk vendor, Priest, Astronaut, Courier, Call center employee.
Q.4: Students in a school are often classified into primary, secondary or junior and senior. What is the criteria that is used ? Do you think this is a useful classification ? Discuss.
Answer: The criteria that is used in a school to classify the students into primary, secondary or junior, senior is on the level of education.
Yes, I think this is a useful classification.
Primary education - Our constitution had directed the state to secure free and compulsory education to the children below 14 years. This comes under the category of Primary education.
Secondary education - Secondary level education given to the age group 14 - 18 years, prepares the student for entry into high education as well as for work.    
Q.6: What does the history of developed countries indicate about the shifts that have taken place between sectors?
Answer: The history of developed countries indicate that at the initial stage of developments, the primary sector was the most important sector. With the improvement in the method of farming and increase in production, people took up professions but still this was the sector which provided maximum employment. Then with the passage of time and advent of industrial revolution and improvement in the production methods, bigger and more number of production facilities were set up resulting in huge employment in this sector.
Thus, during this time the secondary sector gradually became more important in terms of production and employment than the primary sector.       
Q.7: Choose the correct option:
Underemployment occurs when people
(i) do not want to work
(ii) are working in a lazy manner
(iii) are working less than what they are capable of doing
(iv) are not paid for their work
Answer: (iii)
Q.8: Compare and contrast the changes in India with the pattern that are observed for developed countries. What kinds of changes between sectors were desired but did not happen in India.  
Answer: A comparison as well as contrast of the changes in India with the developed countries can be given as follows:
Developed Countries
1. At initial stage of development, primary sector was the most important sector of economic activity in terms of both production and employment. 
2. With the development of the economy, secondary sector gradually became the most important in total production and employment.
3. When the country has reached to the higher levels of development, the share of service sector in GDP and employment becomes the maximum. 
1. At initial stage of development, primary sector was the most important in total production and employment.
2. India did not follow this pattern. secondary sector has neither become the most important in terms of production nor employment ever.
3. By 1990 the share of the service sector in the GDP became 40.59% which was more than that of the other two sectors. Thus although in terms of GDP the service sector took over the other two sectors during the past 15 - 20 years. In terms of employment, most of the working people are still employed in primary sector.   
(i) It was desired that with the development of economy secondary sector would replace the primary sector and become the most important sector in GDP. But this did not happen in India. Tertiary sector surpassed the primary and secondary sectors in its growth. 
(ii) It was also desired that with the development, the share of primary sector in development would decrease and that of secondary and tertiary sectors would increase the maximum. But this too did not happen in India.
Q.9: Why should we be worried about underemployment?
Answer: Underemployment is the situation when the people are visibly employed though actually unemployed. In this situation more people are engaged in a work than required. That is they are made to work less than their capabilities. This situation is also known as Disguised or Hidden Unemployment.
Underemployment is a matter of great worry because lakhs of people are underemployed in India. It is more in agricultural sector. In addition, it also exists in other sectors such as casual workers in the service sector in urban areas. If these people could work elsewhere or could be fully employed, the income earned by them would increase their total family income and they would prosper.       
Q.10: Why do you think NREGA 2005 is referred to as ‘Right to Work’?
Answer: NREGA 2005 was passed in September 2011. Under this Act all those who are able to be and are in need of work have been guaranteed 100 days work in a year.
NREGA 2005 (National Rural Employment Guarantee Act, 2005) is also referred to as ‘Right to Work’ because it provides 100 days’ assured employment every year to every rural household. If an applicant is not provided employment within 15 days, he/she will be entitled to a daily employment allowance. Under this act, one-third of the proposed jobs would be reserved for women.         
Q.11: In what ways can employment be increased in urban areas?
Answer: Employment in urban areas can be increased in the following ways:
1. Labour intensive techniques of production should be adopted.
2. Cottage and small-scale industries should be encouraged.
3. Problems regarding power-supply, raw materials, transportation etc. have to be improved.
4. Our education system has to be made employment oriented with more stress on vocational courses.
5. The government should encourage for self-employment by providing credit-facilities, training and marketing facilities etc.
6. There is a large scope of employment in servicing sector especially in IT, tourism etc. These sectors needs proper planning and support from government.
7. Targeted employment generation programmes should be implemented with full devotion and honesty.
Q.12: (i) Define Gross Domestic Product. (ii) Who collects the data and prepare GDP?
Answer: (i) Gross Domestic Product (GDP) is the value of all final goods and services produced by different sector of economy within a country during a particular year. (ii) Ministry of Central Govt. with help of various departments collects the data required to calculate the GDP.
Q.13: How do we classify economy into different sectors?
Answer: An economy can be classified into different sectors on the basis of several criteria such as :
(a) On the basis of economic activities – Primary or Agricultural Sector, Secondary or Industrial Sector and Tertiary or Service Sector.
(b) On the basis of employment conditions – Organized Sector and Unorganized Sector.
(c) On the basis of ownership – Public and Private Sector.
Q.14: What do you understand by the ‘Sectors of an Economy’?
Answer: Economic activities are classified into different groups known as ‘Sectors’. An economy is best understood when we study its components or sectors. Sectoral classification can be done on the basis of several criteria into the following types like –
(i) Primary, Secondary, Tertiary sectors.
(ii) Organized and Unorganized sectors.
(iii) Public sector and Private sector etc. 
Q.15: What are the factors responsible for the rise of Tertiary Sector?
Answer: The main reasons for the rise of tertiary sector is the nature of interdependence of all the three sectors of economy on each other. With the development of the Primary and Secondary sectors there is an increase in demand for services like transport, storage, banking facilities etc. Also with the increase in the income of the people there has been an increase in demand for shopping centers, educational facilities, medical facilities, communication, and tourism etc. especially in the urban areas.     
Further study
Class 10, NCERT Social Science Economics (CBSE Syllabus) | Understanding Economic Development, Chapter - 2, Sectors of Indian Economy | NCERT Textbook Exercise Solutions [Read]

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