Objective Questions
Question : MGNREGA guarantees job to poor for
(a) 100 days (b) 90 days
(c) 60 days (d) 50 days
Answer : A
Question : Animal Husbandry is a part of
(a) Primary sector (b) secondary sector
(c) tertiary sector (d) none of these
Answer : A
Question : Which of the following is not an example of tertiary sector?
(a) Banking (b) Transport
(c) Trade (d) Forestry
Answer : D
Question : GDP of a country is based on
(a) total value of good and services
(b) final value of goods and services
(c) initial value of goods and services
(d) all of these
Answer : A
Question : Which among the following activities is not related to primary sector?
(a) Fishing
(b) Natural gas extraction
(c) Making of sugar
(d) Mining
Answer : A
Question : Places of work which follow rules and regulation are termed as
(a) organised sector (b) unorganised sector
(c) tertiary sector (d) secondary sector
Answer : A
Question : The sector in which the productive units are owned, maintained and managed by government
(a) organised sector (b) primary sector
(c) public sector (d) industrial sector
Answer : A
Question : The secondary sector is also known as ______. as this sector produces useful items from natural products.
(a) manufacturing (b) construction
(c) building (d) making
Answer : A
Question : Converting iron is a part of
(a) primary activity (b) secondary activity
(c) tertiary sector (d) all of these
Answer : A
Question : The task of collection of data in all the three sectors of the economy is done by which of the following anlanizations.
(a) NSSO (b) BPO
(c) KPO (d) UNDP
Answer : A
Question : In India, ______. sector is largest employer while ______ sector is largest income generator.
(a) secondary, tertiary (b) tertiary, primary
(c) primary, tertiary (d) tertiary, secondary
Answer : A
Question : Information and Technology is a part of
(a) tertiary sector (b) primary sector
(c) secondary sector (d) all of these
Answer : A
Question : In terms of ownership, enterprises owned by individuals are known as ______.
(a) public sector (b) primary sector
(c) unorganised sector (d) private sector
Answer : A
Fill In The Blank
DIRECTION : Complete the following statements with appropriate word(s).
Question : Transport, communication and banking come under ______ sector.
Answer : Tertiary
Question : Another name for tertiary sector is ______. .
Answer : Service sector
Question : Tertiary is a larger sector in ______ country.
Answer : Developed
True/False
DIRECTION : Read each of the following statements and write if it is true or false.
Question : Unorganised sector are registered with the government.
Answer : False
Question : Provision of appointment letter is not there in unorganised sector.
Answer : True
Question : People cannot expect job security in an organised sector.
Answer : True
Assertion And Reason
DIRECTION : Mark the option which is most suitable :‘
(a) If Both assertion and reason are true, and reason is the correct explanation of assertion.
(b) If Both assertion and reason are true, but reason is not the correct explanation of assertion.
(c) If Assertion is true, but reason is false.
(d) If Both assertion and reason are false.
Question : Assertion : In India, over the forty years between 1973-74 and 2013-14, while production in all the three sectors has increased, it has increased the most in the tertiary sector.
Reason : Tertiary sector is the only organized sector in the economy so the government spends a lot of money for creating jobs in tertiary sector.
Answer : (c) Assertion is true, but reason is false.
There are several reasons for increased production in tertiary sector such as increase in demand tor education, health, communication and transportation, development of agriculture sector, increase in level of income and development of information and technology sector.
Question : Assertion : The development of agriculture and industry leads to the development of service sector.
Reason : As the primary and secondary sectors develops, the demand for transport, storage structures, banks, insurance, etc., increases.
Answer : (a) Both assertion and reason are true, and reason is the correct explanation of assertion.
As the primary and secondary sector develops the demand for the aforementioned tertiary activities increase. Not just the demand for mentioned services increases, but as individuals become better off, the demand for education, health services, professional training and communication also increase. Therefore, the development of primary and secondary sectors leads to the development of service or tertiary sector.
Question : Assertion : GDP shows how big an economy is.
Reason : GDP is the value of all goods and services produced within the domestic territory of a country in a year.
Answer : (a) Both assertion and reason are true, and reason is the correct explanation of assertion.
GDP is the value of all final goods and services produced within a country. A higher GDP is indicative of higher production level and higher economic activity. Also, a higher GDP implies people of the country are earning more so it is indicative of the size of an economy.
Question : Assertion : Leela works five days a week, receives her income on the last day of each month and gets medical facilities from her firm.
Reason : Leela is working in organized sector.
Answer : (a) Both assertion and reason are true, and reason is the correct explanation of assertion.
The firms in organized sector are registered by the government and have to follow its rules and regulations which are given in various laws such as the Factories Act, Minimum Wages Act, Payment offcratuity Act, Shops and Establishments Act etc
Question : Assertion : When calculating the total value of goods and services produced in a country, the value of all goods and services at each stage of production should be calculated.
Reason : At each stage of production some value is added to a good or service, therefore, the value added at each stage of production is added to derive the total value of gods and services in an economy.
Answer : (d) Both assertion and reason are false.
When calculating the total value of goods and services produced in a country, the value of final goods and services is calculated. If we add the value of goods and services at each stage of production, we will get an inflated GDP as the same value would be included multiple times.
Question : Assertion : Id India, the primary sector is the largest employer.
Reason : The demand for services has increased enormously.
Answer : (b) Both assertion and reason are true, but reason is not the correct explanation of assertion.
The primary sector remains the largest employer in India because not enough jobs were created in the secondary and tertiary sectors. However, the demand for services has increased owing to increase in demand for education, health, communication and transportation, development of agriculture sector, increase in level of income and development of information and technology sector.
Very Short Answer Type Questions
Question : When we produce goods by exploiting the natural resources, in which category of economic sector such activities come?
Answer : When goods are produced by exploiting the natural resources, it is an activity of the primary sector.
Question : What does GDP stands for ?
Answer : GDP stands for Gross Domestic Product.
Question : Where is the disguised employment found mostly?
Answer : The disguised employment is mostly found in the agriculture sector.
Question : What was the most important sector of economic activities at the earliest stages of development?
Answer : Primary sector was the most important sector of economic activities at the earliest stages of development.
Question : Name the sector in which the natural products are changed into other forms.
Answer : Primary sector is the sector in which the natural products are changed into other forms.
Question : Give four reasons for the rising of the tertiary sector in India.
Answer : The four reasons for the rising of the tertiary sector in India are - provision of basic services, rise in income, development of primary and secondary sectors and development of ICT.
Short Answer Type Questions
Question : Distinguish the service conditions of organised sector with that of unorganised sector.
or
Explain with suitable examples which part of the service sector is not growing in importance.
Answer : The service conditions of the organised and the unorganised sector are:
a. Service conditions of Organised sector:
1. These are the big units.
2. These units are registered with the government.
3. There are some formal processes and procedures in this sector. Therefore, it is called organised.
4. There is security of employment.
b. Service conditions of unorganised sector:
1. These are the small and scattered units,
2. These units are not registered with the government.
3. There are no formal processes and procedures in this sector. Therefore, it is called Unorganised.
4. There is no security of employment.
Question : What constitutes the unorganised sector in the urban areas? Why do workers in this area need protection?
Answer : Workers in small scale industry, casual workers in construction, trade and transport constitutes the unorganised sector in the urban areas.
Workers in unorganised sector of the urban areas need protection because
a. They are paid very low.
b. Their work is erratic and so the income.
Question : With the example of sugarcane, explain the interdependence of all the three sectors of the economy.
Answer : All the three sectors primary, secondary and tertiary are highly interdependent. They need the help of each other, without which none of the sectors would be able to complete its production or service.
For example: Cultivation of sugarcane comes under the primary sector. This cultivated sugarcane, is the raw material for sugar-making industries (comes pnder secondary sector]. Sugarcane is transported to the sugar mills with the help of vehicles which comes under the tertiary sector. Sugar made by sugar mills are further transported to various markets and sold by retailers and wholesalers using tertiary sector.
Question : Explain disguised unemployment with two examples, one from urban areas and other from rural areas.
Answer : When more than the required people are working in a field, is called disguised unemployment. In several areas, all the members of a family work in the same agricultural land (which is small and does not require so much members].
In urban areas, people like plumber, carpenter, painter are not able to find work on a daily basis and hence do the odd job.
Question : How did NREGA 2005 bring upliftment of the rural people? Explain.
Answer : Mahatma Gandhi National Rural Employment Guarantee Act:
a. This act was passed in the year 2005.
b. According to this Act, 100 days of guaranteed employment is provided to all those who are able to work and are in need of work in the rural areas.
c. Unemployment allowance is provided to the workers if the government is not able to provide them work within 15 days.
d. This Act helps in providing income and livelihood to the people in the rural areas.
Question : Highlight the three factors responsible for the growth of service sector in the Indian economy.
Answer : Due to the following reasons, the tertiary sector is rising in importance in India:
a. Rise in the basic services provided by the government.
b. The development in the primary and secondary sectors has led to the development of the tertiary sector.
c. Due to the rise in income, people have started spending on the various kinds of services.
Question : Why does disguised employment not help in the productivity of the country? Explain with the help of an example.
Answer : In the disguised unemployment, extra people are working on the fields. They are not required for work.
All seems working. No one sits idle. They share the labour effort. They work less than their potential.
There is hidden unemployment. Underemployment is not just a feature of the primary sector. It can also be seen in the service sector such as people doing odd jobs like painters, plumbers etc.
The extra people working in these sectors does not help in increasing the production. Their presence or absence will not affect the total production.
For example: if a piece of land require only 8 people for completing the production but 10 people are engaged. The two people working are extra as they do not have any job opportunities outside. The land has a limit to produce. Engaging more people will not help in increasing the production from the land.
Question : What is unorganised sector? Describe the working procedure of this sector.
Answer : Unorganised sector are the small and scattered units.
These units are not registered with the government.
The working procedure of this sector are:
a. They do not follow the rules and regulations followed by the government.
b. There are no formal processes and procedures in this sector. Therefore, it is called Unorganised.
c. There is no security of employment.
d. There is no fixed working hours and workers are not paid for overtime.
e. There are no benefits like paid holidays, medical facilities, safe working environment, provident fund etc.
Long Answer Type Questions
Question : Give five reasons for the rising importance of the tertiary sector in production.
Answer : Five reasons for the rising importance of the tertiary sector in production are:
a. Rise in the basic services provided by the government.
b. The development in the primary and secondary sectors has led to the development of the tertiary sector.
c. Due to the rise in income people have started spending on the various kinds of services.
d. Due to the development of new kinds of services like IT sector services.
e. Due to the introduction of the new economic policy liberalisation, privatisation and globalisation, the trade expanded all over the world and the role of service sector became significant.
Question : What is GDP? Explain the process to calculate GDP.
Answer : GDP can be defined as the total value of all the final goods and services produced by the three different sectors in a country in a financial year.
GDP is a complex task. It is undertaken by the Central Government ministry after collecting all the data from the different states and the union territories.
31. In what ways can employment be increased in urban areas ?
Answer : Job opportunities can be increased in the urban areas through the following ways:
a. Government should invest in transportation and storage.
b. Government should provide loan to the people for starting their own business at reasonable rate of interest.
c. Opportunities for new industries should be identified, located and promoted in the small towns.
d. Opening of the services like the cold storages.
e. Jobs can be created in the field of education, health and tourism sector.
f. Jobs can be created by launching the various government schemes.
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