Q 1. What are economic activities?
The activities which contribute to the of goods and services in an economy.
Q 2. Give any two examples of primary activities. ?
(i) Animal rearing (ii) Lumbering
Q 3. By what other name the primary sector is known as ?
Agriculture and related sector.
Q 4. What is Secondary sector ?
The Secondary sector includes activities in which natural products are changed into other forms manually or through machines.
Q 5. What is tertiary sector ?
The sector which provides support services to both primary and secondary sectors. For example, banking, trade communication, etc.
Q 6. Dairy is a primary activity’. Give reasons.
In case of dairy we are dependent on the biological process of the animals and availability of fodder the product i.e. milk is also a natural product.
Q 7. Which sector has shown the highest growth rate ?
Tertiary sector.
Q 8. Why tertiary sector is also termed as service sector.?
Tertiary sector is termed as service sector because tertiary sector provides support service to primary and secondary sectors.
Q 9. Sahara Airlines and B.S.E.S. are example of :
Private Sector
Q 10. What is the main motive of private sector enterprises ?
Profit-making.
Q 11. What is Right to Work ?
Under this right all those who are ready to work at prevalling wages are given work by the government.
Q 12. Which are the three sectors of economic activities ?
- Primary or agriculture and related sector.
- Secondary or industrial sector.
- Tertiary or services sector.
Q 13. Why is the primary sector called agriculture and related sector ?
Since most of the natural products we get are from agriculture, dairy, fishing, forestry. This sector is also called agriculture and related sectors.
Q 14. Which occupation belongs to the primary sector ? Mention any one.
Dairy, fishing and forestry.
Q 15. In which sector all natural products are changed into forms through ways of manufacturing ?
Secondary sector.
Q 16. Why is the secondary sector called industrial sector ?
Since this sector gradually became associated with the different kinds of industries that came up it is also called as industrial sector.
Q 17. State any one feature of the tertiary sector with example.
The activities in the tertiary sector do not produce a good but they are an aid or a support for the production process. For example goods produced in the primary or secondary sector need transport to send them to markets.
Q 18. Why is tertiary sector called service sector ?
The service sector generates services rather than goods, it is called the service sector e.g., teachers.
Q 19. Classify the following occupations under primary, secondary and tertiary sectors : washerman, dairy, fishing, sugar factory, ATM booths.
- Primary sector — Dairy, fishing.
- Secondary sector – Sugar factory.
- Tertiary sector – Washerman, ATM booth.
Q 20. How do we get total production of a sector for a particular year ?
The value of final goods and services produced in each sector during a particular year provides the total production for that year.
Q 21. How do we get the Gross Domestic Product (GDP) of a country ?
The sum of production in the three sectors gives the Gross Domestic Product of a country.
Q 22. In which sector are most of the people employed now-a-days ?
The service sector.
Q 23. Which was the main factor for the change from primary sector to the secondary sector ?
It was due to the introduction of new methods of manufacturing during industrial revolution.
Q 24. In 1973 and 2003 which sector had maximum share in GDP in India ?
- 1973 – Primary Sector.
- 2003 – Tertiary Sector.
Q 25. Why the primary sector continues to be the largest employer in 1973 as well as in 2000 ? Give one reason.
It is because not enough jobs were created in the secondary and tertiary sectors.
Q 26. Why is the tertiary sector becoming very important in India ? Give any one reason.
The major factor is the necessity of basic services such as hospitals, educational institutions, post and telegraph services, police stations, courts etc.
Q 27. What do you mean by under-employment in agricultural sector ?
In agricultural sector, under-employment means that there are more people employed in agriculture than is necessary.
Q 28. What is disguised unemployment ?
This kind of under-employment is hidden in contrast to someone who does not have a job and is clearly visible as unemployed. Hence it is called disguised unemployment.
Q 29. State any one way to create more employment opportunities in the country.
New employment opportunities can be created by identifying, promoting and locating industries and services in semi-rural areas where a large number of people may be employed. For example a dal mill.
Q 30. State one feature of NREGA 2005.
Under NREGA – National Rural Employment Guarantee Act 2005, all those who are able to, and are in need of work, have been guaranteed 100 days of employment in a year by the government.
Q 31. Why do you think NREGA 2005 is referred to as ‘Right to Work’ ?
Because it guarantees 100 days of employment in a year by the government.
Q 32. State any one feature of the organised sector.
Organised sector covers those enterprises or places of work where terms of employment are regular and therefore, people have assured work.
Q 33. Which groups of people are employed in unorganised sector in the rural areas ?
In the rural areas, the unorganised sector mostly consists of landless agricultural labourers, small and marginal farmers, shopkeepers and weavers, blacksmiths etc.
Q 34. In urban areas which workers/people come in the category of unorganised sector ?
In urban areas, unorganised sector comprises mainly of workers in small scale industry, casual workers in construction, trade and transport etc.
Q 35. Classify economic activities into sectors on the basis of ownership. Give examples.
- In terms of ownership, sectors can be divided into public and private sectors.
- Public sector – Railways.
- Private sector- Tata Iron and Steel Company Ltd.
Q 36. Economic activities, though grouped into three different catergories, are highly interdependent.” Discuss.Do you agree with the view that primary, secondary and tertiary sectors are dependent on each other ?
Primary, secondary and tertiary sectors are interdependent as mentioned below :
- When we produce goods by exploiting natural resources, it is an activity of the primary sector. It is primary because it forms the base for all other products that we subsequently make.
- The secondary sector covers activities in which natural products are changed into other forms manually or by machines. For example wheat is used to manufacture bread. So there is mutual dependency between primary and secondary sectors.
- The activities that help in the development of the primary and secondary sectors fall under the tertiary sector. These activities by themselves do not produce a good but they are an aid or a support for the production process. Transport, storage, communication and banking are some examples of tertiary activities.
Q 37. Describe the essential services that are included in the service sector and may not directly help in the production of goods.
The essential services, included in the service sector, that may not directly help in the production of goods are as mentioned below :
- Teachers.
- Doctors.
- Persons who provide personal services such as washerman, barbers, cobblers, lawyers and people to do administrative and accounting works.
- Recently certain new services based on information technology such as internet cafe, ATM booths, call centers, software companies have become important.
Q 38. What does GDP stand for ? Explain how GDP is calculated.
Or
What is Gross Domestic Product ? Which departments carry out the task of measuring the GDP in India ?
Or
What is GDP ? Who undertakes the task of measuring GDP in India ? How is this task done ? What is its importance ?
- What is GDP – The value of final goods and services produced in each sector during a particular year provides the total production of the sector for that year. And the sum of the production in the three sectors is called the Gross Domestic Product or GDP.
- Measurement of GDP – The task of measuring GDP is undertaken by a Central Government ministry. The ministry with the help of various government departments of all the Indian states and union territories, collects the information relating to the total volume of goods and services and their prices and then estimates the GDP.
- Importance of GDP – The GDP of a country shows the size of the economy of the country. This reflects whether the country is poor or rich and the status of employment and people.
Q 39. Describe the change in the different sectors of the economy over a period of time.
Or
What does the history of developed countries indicate about the shifts that have taken place between the sectors ?
The history of developed countries indicates about the shifts that have taken place between the sectors as given below :
Initial stages of primary sector :
- The agricultural sector was the most important sector of economic activity. Most of the people were engaged in farming and producing grains for their own consumption.
- However with the passage of time agricultural sector produced more food. This gave rise to many activities such as transporter, administrator and army. Buying and selling increased.
- But most of the goods produced were natural products.
- Most of the people were still employed in the primary sector.
- Secondary sector :
- With the introduction of new methods of manufacturing, factories came up.
- More goods were produced in factories.
- This was the beginning of secondary sector. It gradually became important in total production and employment.
- Tertiary sector : In the past 100 years there was shift from secondary to tertiary sector due to the factors as mentioned below:
- Need for hospitals/schools/police stations etc.
- Development of agriculture and industry and need for services such as transport, torage etc.
- Rise in the income level and more demand for tourism, shopping etc.
- Coming of Information Technology. ‘
Thus there was change from one sector to another in due course of time.
Q 40. Why is the tertiary sector growing so rapidly in India ? Explain by giving four reasonsOr
Which sector has emerged as the largest producing sector in the Indian economy in the last decade ? Give reasons.
Or
Give the meaning of tertiary sector. State any three factors that contributed to the growth of this sector.
- Tertiary sector relates to the activities that help in the development of the primary and secondary sectors. These activities by themselves do not produce a good but they are an aid or a support for the production process.
- The causes for tertiary sector becoming important sector in India by replacing the primary sector are as follows
- Concept of welfare state and basic services : In a modern welfare state such as India, the basic services such as hospitals, educational institutions, post and telegraph services, police stations, courts, transport, banks and insurance companies are required. These have become a necessity. It is the responsibility of the state to provide these services. All these services come in the category of service sector.
- Development of agriculture and industry : The development of agriculture and industry leads to the development of transport, storage and other services. As these sectors make more development, the service sector too expands and its importance increases accordingly.
- Rise in income : In the recent years, there has been a rise in the income of certain sections of people. As a result of it, the demand for tourism, shopping and private hospitals etc. has increased. This has led to importance of tertiary sector.
- Development of information technology : The development of information and communication technology has increased the importance of tertiary sector because now most of the people want to avail these services such as mobile phone, internet cafe etc. The production of these services has been rising rapidly all over the world.
In view of the above factor, the tertiary sector has grown rapidly in comparison to other sectors.
Q 41. Suggest any three ways to create more employment in rural sector
Or
Explain the ways to create more employment in agricultural sector.
Or
Explain measures that can be adopted to remove disguised unemployment in the agriculture sector.
The following steps can be taken to remove disguised unemployment in the agriculture sector :
- Loans should be provided to small farmers by the government or banks to have more irrigation facilities like wells and tube-wells in order to enable them to grow second crop.
- New dams and canals should be constructed. This will lead to more employment in the agricultural sector.
- Transportation and storage facilities must be improved to provide productive employment to not only the farmers but also others in services like transport and trade.
- Banks should provide agricultural credit to the farmers to improve farming.
- Industries such as dal mill, cold storage, hoi\ey collection centres, processing of vegetables should be set up in rural or semi-rural areas. Such industries will get raw materials from the rural areas and will create more employment opportunities for the rural people.
- Schools should be opened in rural areas. This will provide jobs to about 20 lakh people in the education sector.
- Health services should be improved in rural areas by opening dispensaries and hospitals. This will create jobs for doctors, nurses and other staff.
- Tourism, regional craft industry or Information Technology should be encouraged by the government to create more employment opportunities in the rural areas.
- As a short term measure, the government has implemented the Right to Work in 200 districts of India. It is called National Rural Employment Guarantee Act (NREGA) 2005.
Also see Textbook Question 17.
Q 42. Suggest any three ways to create more employment avenues in the urban sector.
The following ways are suggested to create more employment avenues in urban areas :
- Different states should encourage regional craft industry.
- Tourism industry should be promoted. Different sites of historical or cultural importance should be maintained in a better way to attract tourists. According to a study by the Planning Commission if the tourism sector is improved, every year employment can be given to more than 35 lakh people.
- The government should make changes in the policies to provide basic facilities, develop infrastructure and extend loan and technological assistance. According to an estimate of the Planning Commission, nearly 20 lakh jobs can be created in education sector alone if we provide buildings, teachers and the other staff for the schools for about 200 million children in the school-going age-group.
Q 43. What steps should be taken by the government to protect workers in the unorganised sector ?
Following steps should be teken to provide protection and support to them :
- Small farmers who comprise 80% of the rural’households, should be supported in procuring seeds, agricultural inputs, credit, storage facilities and marketing outlets.
- In urban areas, government should help small scale industry in procuring raw material and marketing of goods.
- The interests of the casual workers in rural as well as urban areas must be protected by law.
- The government should take steps to ensure equal treatment for all particularly low castes.
Minimum Wages Act should be enforced strictly. - The government should take steps to ensure regulation of working hours and grant of medical facilities etc.
- The government should take strict action against those employers who discriminate on account of caste, creed and gender.
Q 44. Why do the modern governments spend a lot of money on different activities without earning profit ?
The reasons are as given below :
- Welfare of the people : The modem state is a welfare state that looks after the interests of its citizens. People pay different types of taxes and expect the government to follow policies for the welfare of the people. So, generally those activities which do not generate profit and are not taken up by the private sector, are taken up by the government or the public sector. Thus, services like Railways or Posts and Telegraphs are provided by the government.
- Large expenditure : Some activities like construction of roads etc. need large sum of expenditure which cannot be borne by the private sector. So, the government takes up such activities in the interest of the people in a democracy.
- Some activities that need support of the government : There are some activities that need support of the government in the form of subsidy such as provision of foodgrains for the poor through ration shops. The government buys wheat, paddy etc. at a higher price but sells at a lower price at ‘ration shops’. Such activities cannot be taken up by the private sector.
- Duty of the government : It is the duty of the government to raise the standard of living of the people. It should make arrangements for quality education and health services in order to take care of the poorest of the poor and most ignored regions of the country. Thus, the government takes up various activities and spends a lot of money on them.
Q 45. What is under employment? Explain with an example.
(i) It is situation under which people are apparently working but all of them are made to work less than their potential.
(ii) For example to cultivate a field only two workers are required but the whole family of five people is working as they have nowhere else to go for work.
(iii) This type of unemployment is also known as disguised unemployment.
Q 46. What are secondary activities? Explain with examples.
The occupations which produce finished goods by using the products of primary activities as raw materials are included in secondary activity. Manufacturing of cloth from cotton, sugar from sugarcane and steel from iron ore are important examples of secondary activities.
All these are secondary activities because the final product is to be produced not by nature but has to be made by men and therefore, some process of manufacturing is essential. Let us take an example of cloth. Though the primary product, i.e., cotton is produced by nature, but it cannot be used directly by us in . this form. So to convert it into usable form some process of manufacturing is essential. This can be done in a factory or at home with simple tools.
Q 47. What are tertiary activities? Explain with examples.
The tertiary activity consists of all service occupations. Transport, communication, trade, health, education and administration are important examples of tertiary activities. These tertiary activities help in the development of the primary and secondary sectors. These activities, by themselves, do not produce a good, but they are an aid or a support for the production process. So these are also known as support services.
Q 48. What are primary activities? Explain with examples.
Primary activity includes those occupations which are closely related to man’s natural environment. Gathering, hunting, fishing, lumbering, animal rearing, farming and mining are some of the important examples of primary activities. Let us understand the
concept with the help of an example-Animal rearing or dairy is a primary activity. In this activity, farmers are dependent on the biological process of the animals, and the availability of fodder, etc. The product, milk, is also a natural product. The most important
feature of primary sector is that it forms the base for all other activities
Q 49. What is GDP? Who is responsible for collecting data for the GDP in India?
GDP is the value of goods and services produced within a country during a given time period. In India, the mammoth task of measuring the GDP is undertaken by a central government ministry. This ministry, with the help of various government departments of all the Indian States and Union Territories, collects information relating to the total volume of goods and services and their prices, and then estimates the GDP.
Q 50. What is an organised sector ? Explain
(i) An organized sector covers those enterprises or places of work where the terms of employment are regular and therefore, people have assured work.
(ii) They 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 of Gratuity Act,
(iii) They are called organized because they have some processes and procedures. Shops Act, etc.