CBSE Class 10 Social Science Sectors of the Indian Economy MCQs Set 06

Practice MCQs for Class 10 Social Science Chapter 02 Sectors of the Indian Economy

Review structured MCQ sets for Class 10 Social Science Chapter 02 Sectors of the Indian Economy. Built according to official CBSE guidelines, these downloadable questions support daily revision and core concept reinforcement.

Access Chapter 02 Sectors of the Indian Economy Questions and Solutions

Navigate directly to the 50 objective questions for Chapter 02 Sectors of the Indian Economy using the digital viewer below. Each practice set includes verified answer keys, allowing students to instantly cross-check their work and identify areas requiring further revision.

Multiple Choice Questions

Question 1: Which of the following is another name for the primary sector?
(a) Service sector
(b) Agriculture and related sector
(c) IT sector
(d) Industrial sector
Show Answer & Explanation

Answer: (b) Agriculture and related sector

Explanation:
1. This answer was corrected — see the note below.
2. The primary sector is also called the agriculture sector, since it covers farming and other activities directly tied to the natural environment.

Teacher's Note:
a) IT sector belongs to the tertiary (services) sector, not the primary sector — don't mix them up.

Question 2: Arrange in the correct sequence: (i) Sale of cloth in the market; (ii) Using cotton fibre to make yarn and weave cloth; (iii) Transportation of woven cloth to market; (iv) Farming of cotton plants.
(a) i–iv–iii–ii
(b) iii–iv–i–ii
(c) iv–i–ii–iii
(d) iv–ii–iii–i
Show Answer & Explanation

Answer: (d) iv–ii–iii–i

Explanation:
1. The correct order follows the production chain: growing cotton (primary) → spinning/weaving into cloth (secondary) → transporting it (tertiary) → selling it (tertiary).

Teacher's Note:
a) This traces one product through all three sectors in sequence — a good way to see how they connect.

Question 3: Which sector acts as an aid or support to the other sectors in the economy?
(a) Primary sector
(b) Secondary sector
(c) Tertiary sector
(d) Allied sector
Show Answer & Explanation

Answer: (c) Tertiary sector

Explanation:
1. The tertiary (service) sector supports the primary and secondary sectors rather than producing goods directly itself.

Question 4: Which sector generates services rather than goods?
(a) Tertiary
(b) Secondary
(c) Quaternary
(d) Primary
Show Answer & Explanation

Answer: (a) Tertiary

Explanation:
1. The tertiary sector is defined specifically by producing services, not physical goods.

Question 5: A bank or ATM is an example of which sector?
(a) Industrial
(b) Primary
(c) Tertiary
(d) None of these
Show Answer & Explanation

Answer: (c) Tertiary

Explanation:
1. Banking services fall under the tertiary (service) sector.

Question 6: Which sector has continued to be the largest employer in India?
(a) Secondary
(b) Primary
(c) Tertiary
(d) None of these
Show Answer & Explanation

Answer: (b) Primary

Explanation:
1. Despite its falling share of GDP, the primary sector (mainly agriculture) remains India's largest employer.

Teacher's Note:
a) This is the key 'mismatch' this chapter highlights: primary employs the most people but produces a shrinking share of GDP.

Question 7: While baking a cake, the cocoa powder used by the baker is an example of which type of good?
(a) Final good
(b) Service good
(c) Raw good
(d) Intermediate good
Show Answer & Explanation

Answer: (d) Intermediate good

Explanation:
1. Cocoa powder, used up in making the final product (the cake), is an intermediate good.

Teacher's Note:
a) Only the finished cake sold to the consumer counts as the final good.

Question 8: 'Jaggery making' is an example of which sector?
(a) Primary sector
(b) Secondary sector
(c) Tertiary sector
(d) Non-economic sector
Show Answer & Explanation

Answer: (b) Secondary sector

Explanation:
1. Jaggery making processes sugarcane (a primary-sector raw material) into a finished product, making it a secondary-sector activity.

Teacher's Note:
a) The raw material (sugarcane) is primary; turning it into jaggery is secondary — a good example of the sectors working together.

Question 9: Which of the following does NOT come under the service sector in India?
(a) Transport
(b) Electronic television manufacturing
(c) Real estate
(d) Restaurants
Show Answer & Explanation

Answer: (b) Electronic television manufacturing

Explanation:
1. Manufacturing electronic televisions is a secondary-sector (manufacturing) activity, not a service.

Teacher's Note:
a) Transport, real estate and restaurants are all services (tertiary); manufacturing a physical product (TVs) is secondary.

Question 10: Goods derived by exploiting natural resources are referred to as the goods of the:
(a) primary sector
(b) modern sector
(c) secondary sector
(d) tertiary sector
Show Answer & Explanation

Answer: (a) primary sector

Explanation:
1. Extracting goods directly from nature — farming, fishing, mining — defines the primary sector.

Question 11: Which of the following is a benefit of the tertiary sector?
(a) Its activities help in the development of the primary and secondary sectors
(b) It helps in the production of goods by directly using natural resources
(c) People in it use better seeds and manure to produce agricultural goods
(d) People in it buy raw materials directly from farmers to convert them into final goods
Show Answer & Explanation

Answer: (a) Its activities help in the development of the primary and secondary sectors

Explanation:
1. The tertiary sector's defining role is supporting and enabling the primary and secondary sectors, not producing goods itself.

Question 12: Which sector is currently the largest producing sector in India?
(a) Primary sector
(b) Modern sector
(c) Tertiary sector
(d) Secondary sector
Show Answer & Explanation

Answer: (c) Tertiary sector

Explanation:
1. The tertiary sector has overtaken the primary sector to become India's largest producing sector, measured by its share of GDP.

Teacher's Note:
a) Note the contrast with the earlier question: tertiary produces the most GDP, but primary still employs the most people.

Question 13: Which of the following correctly describes disguised unemployment?
(a) When individuals are unemployed for more than 100 days in a year
(b) When individuals become unemployed because new technology makes their skills obsolete
(c) When individuals become unemployed from changing jobs or moving location
(d) When individuals are engaged in some work, but work less than their actual potential
Show Answer & Explanation

Answer: (d) When individuals are engaged in some work, but work less than their actual potential

Explanation:
1. Disguised (hidden) unemployment specifically means people appear employed, but are working well below their real capacity.

Teacher's Note:
a) The other three options describe different concepts entirely — open unemployment, technological unemployment, and frictional unemployment.

Question 14: GDP is the total value of __________ produced during a particular year.
(a) all goods and services
(b) all final goods and services
(c) all intermediate goods and services
(d) all intermediate and final goods and services
Show Answer & Explanation

Answer: (b) all final goods and services

Explanation:
1. GDP counts only final goods and services, to avoid the double counting that would result from including intermediate goods too.

Question 15: Arrange in the correct sequence: (i) Ginning; (ii) Cotton spinning; (iii) Dyeing cotton fabric; (iv) Growing cotton.
(a) iv-i-ii-iii
(b) i-iv-iii-ii
(c) iii-iv-i-ii
(d) iii-iv-ii-i
Show Answer & Explanation

Answer: (a) iv-i-ii-iii

Explanation:
1. The correct production sequence is: growing cotton → ginning (removing seeds) → spinning into yarn → dyeing the woven fabric.

Question 16: In which year was the National Rural Employment Guarantee Act implemented?
(a) 2000
(b) 2009
(c) 2001
(d) 2005
Show Answer & Explanation

Answer: (d) 2005

Explanation:
1. The National Rural Employment Guarantee Act was implemented in 2005 (later renamed MGNREGA in 2009, after Mahatma Gandhi).

Teacher's Note:
a) Remember both dates: 2005 (original Act) and 2009 (renamed MGNREGA).

Question 17: Which sector contributes the highest share to GDP in India?
(a) Primary sector
(b) Secondary sector
(c) Tertiary sector
(d) Allied sector
Show Answer & Explanation

Answer: (c) Tertiary sector

Explanation:
1. The tertiary sector contributes the largest share of India's GDP today.

Question 18: Choose a method to tackle the problem of underemployment in a country.
(a) Identify, promote and locate industries and services where a large number of people can be employed
(b) The government should close down industries with lower employment levels
(c) The government should provide unemployment benefits to citizens
(d) The government should focus on developing jobs only in the unorganised sector
Show Answer & Explanation

Answer: (a) Identify, promote and locate industries and services where a large number of people can be employed

Explanation:
1. Actively identifying and promoting industries and services capable of employing more people is the constructive way to reduce underemployment.

Teacher's Note:
a) Closing low-employment industries or relying solely on benefits would not create new, productive jobs.

Question 19: Which of the following is true about MGNREGA, 2005?
(a) The government must increase the number of jobs in the unorganised sector
(b) The government must provide 100 days of employment in rural areas to those able and willing to work
(c) The government must ensure all unemployed individuals in rural areas get Rs 100/day as unemployment benefit
(d) The government must provide free health check-ups and medical facilities to unemployed people in rural areas for at least 100 days a year
Show Answer & Explanation

Answer: (b) The government must provide 100 days of employment in rural areas to those able and willing to work

Explanation:
1. MGNREGA guarantees 100 days of paid employment per year to rural households whose adult members are willing to do unskilled manual work.

Teacher's Note:
a) MGNREGA is about guaranteed EMPLOYMENT (paid work), not a direct cash benefit or free healthcare.

Question 20: What is the key difference between the organised and unorganised sectors?
(a) Organised-sector employees work mainly in agriculture; unorganised-sector employees work mainly in factory manufacturing
(b) Firms in the organised sector are registered with the government and follow set employment norms; the unorganised sector is made up of small, scattered units largely outside government control
(c) Organised-sector employees are mainly self-employed; unorganised-sector employees mainly hold government jobs
(d) The organised sector contributes minimally to GDP, while the unorganised sector drives most economic growth
Show Answer & Explanation

Answer: (b) Firms in the organised sector are registered with the government and follow set employment norms; the unorganised sector is made up of small, scattered units largely outside government control

Explanation:
1. Registration with the government and adherence to formal employment rules is the key distinguishing feature of the organised sector, as opposed to the largely unregulated unorganised sector.

Question 21: Sushila works in a garment export industry in Agra, and receives health insurance, provident fund, double-rate overtime pay and medical leave. Which sector does she work in?
(a) Tertiary sector
(b) Organised sector
(c) Unorganised sector
(d) None of the above
Show Answer & Explanation

Answer: (b) Organised sector

Explanation:
1. The specific benefits Sushila receives — health insurance, provident fund, paid overtime, medical leave — are hallmarks of regulated, organised-sector employment.

Teacher's Note:
a) Note this question tests 'organised vs unorganised' (working conditions), a different classification axis from 'primary/secondary/tertiary' (type of activity).

Download Chapter MCQs: Class 10 Social Science Chapter 02 Sectors of the Indian Economy

Download Multiple Choice Questions: Chapter 02 Sectors of the Indian Economy (Class 10 Social Science)

Review structured objective questions for Class 10 Social Science Chapter 02 Sectors of the Indian Economy. Built according to official CBSE guidelines, these MCQ sets support daily revision and core concept reinforcement.

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