Here you will find all the questions, solutions, answers, and notes of chapter 17: Role of Service Sector in Indian Economy of Social Science for class 10 students studying under Nagaland Board of School Education (NBSE). However, the study materials should be used only for references and nothing more. The notes can be modified/changed according to needs.
Summary
In our everyday life, we find different people engaged in different types of activities to earn their living. People like farmers, casual workers, cobblers, shopkeepers, vegetable vendors. domestic servants, industrialists, teachers, doctors, lawyers, chartered accountants etc. perform different types of activities. All households are concerned with one or the other type of activity to earn wealth or money to satisfy their wants. All these activities are called economic activities. Economic activities produce different types of goods and services which satisfy people’s wants. The sum total of economic activities constitutes an economy.
Economic activities are carried on or are controlled by individuals, firms, private institutions and also by the government. Individuals and firms usually work for private gain or profit. But the governments have to consider not only the private gains of individuals or groups but also the welfare of society by taking the people as a whole.
A framework within which all economic activities of a country can be largely described is called the economy. In other words, an economy is the aggregate of economic activities in a country within which various types of goods and services are produced, distributed and consumed. It consists of all those individuals, households, fields, factories, mines, businesses, schools, colleges, offices, banks, hospitals, railways.
Textual questions and answers
Multiple Choice Questions
1. The sector that converts raw materials into goods is the
A. Primary sector
B. Secondary sector
C. Tertiary sector
D. Organised sector
Answer: B. Secondary sector
2. In which sector activities are not guided by profit motive?
A. Public sector
B. Private sector
C. Organised sector
D. Unorganised sector
Answer: A. Public sector
3. Services of teachers, doctors, lawyers etc. are included in the
A. Primary sector
B. Secondary sector
C. Tertiary sector
D. All of these
Answer: C. Tertiary sector
4. There was a strike announced by the “Transport union” due to which the Lorries refused to transport vegetables, milk, etc. from the rural areas to the urban areas. Food became scarce in urban areas whereas farmers were unable to sell their products. Which of the following sectors are affected due to the strike carried out by the “Transport Union”.
A. Primary and Secondary sector
B. Secondary and Tertiary sector
C. Tertiary, Primary and Secondary sector
D. Tertiary and Primary sector
Answer: C. Tertiary, Primary and Secondary sector
5. Read the following statements – Assertion (A) and Reason (R). Choose one of the correct alternatives given below.
Assertion (A): Intermediate goods are sold by one producer to another either for further processing or for resale.
Reason (R): All intermediate goods after processing become final goods.
A. Both the Assertion (A) and Reason (R) are true, and the Reason is a correct explanation of the Assertion.
B. Both the Assertion and Reason are true, but the Reason is NOT a correct explanation of the Assertion.
C. The Assertion is true, but the Reason is false.
D. The Assertion is false, but the Reason is true
Answer: B. Both the Assertion and Reason are true, but the Reason is NOT a correct explanation of the Assertion.
Very Short Answer Questions
1. Mention one reason for the need of public sector in India.
Answer: The motivating force in the private sector is profit making instead of social welfare.
2. What are secondary activities?
Answer: Secondary activities are those which convert one type of product into another.
3. Name the sector where goods and products are produced by exploiting natural resources.
Answer: Primary Sector
4. Why is the tertiary sector also called the service sector?
Answer: Tertiary activities generate services rather than goods.
Short Answer Questions
1. What is meant by disguised unemployment? Give an example.
Answer: Disguised unemployment exists where part of the labour force is either left without work or is working in a manner where worker productivity is zero. If we remove such workers from the field, then the total production will not fall. For example, suppose four people are working in a field and the total output is 10 quintals of wheat. If we remove one person and the output still remains 10 quintals, it means that one person was disguisedly unemployed.
2. Mention any one measure to remove unemployment in India.
Answer: One measure to remove unemployment in India is to promote industries and services in semi-rural areas where a large number of people may be employed.
3. What is public sector? Give examples of public sector units.
Answer: The public sector is that portion of an economic system that is controlled by national, state or local governments. Examples of public sector units are Indian Railways, Post Office and Indian Oil Corporation Ltd. (IOCL).
Long Answer Questions
1. Distinguish between organised and unorganised sectors of the Indian economy.
Answer: Organised sector covers those enterprises or places of work where the terms of employment are regular and therefore, people have assured work. In this sector, self-employed people also have to register themselves with the government.
An unorganised sector, on the other hand, includes those activities of people where no rules and regulations are followed. Example: landless agricultural labourers, small and marginal farmers etc.
2. The tertiary sector is becoming the most important sector in India. Give reasons in support of the statement.
Answer: The tertiary sector has now become the most important sector in fast-developing India because of the following reasons:
(l) The service sector provides the basic services for the development and provision of which government takes responsibility.
(II) The development of agriculture and industry requires the development of services such as transport, storage, trade, means of communication etc.
(III) As income levels rise, certain sections of people start demanding more services like hotels, tourism, shopping, private schools, private hospitals etc.
(IV) Over the past decade, services based on information and technology are being increasingly demanded.
(V) The service sector employs many different kinds of people like small shopkeepers, repairpersons, transport persons etc.
(VI) Globalisation has also created new opportunities for companies providing services, particularly those involving IT.
3. Explain how the public sector contributes to the economic development of a country.
Answer: In the public sector, the government owns most of the assets. Industries owned by the government or its agencies are called Public Sector Undertakings (PSUs). Indian Railways, Post Office, Indian Oil Corporation Ltd. (IOCL), Steel Authority of India Ltd (SAIL) are some of the examples of PSUs. The purpose of the public sector is not to earn profits. There are a number of activities that are required by society as a whole but the private sector does not like to take initiative because of the low rate of return. And some of these activities need a large sum of money which is beyond the capacity of the private sector. Even if they provide these things they would charge a high price for their use. Construction of roads, bridges, railways, harbours, generating electricity, providing irrigation through dams etc. are examples of such activities. Thus, governments have to undertake such heavy spending and ensure that these facilities are available for everyone in the society which is vital for the economic growth of a country as infrastructure is the backbone of any economy.
Extra/additional MCQs
1. What is an economy?
A. The sum total of economic activities B. The activities carried out by the government C. The primary sector activities D. The secondary sector activities
Answer: A. The sum total of economic activities
30. Which sector accounts for more than 50% of GDP but employs only about 31% of the workforce in India?
A. Primary sector B. Secondary sector C. Tertiary sector D. Organized sector
Answer: C. Tertiary sector
Extra/additional questions and answers/solutions
Q. What is an economy?
Answer: A framework within which all economic activities of a country can be largely described is called the economy.
27. What is the difference between the organized and unorganized sectors in terms of employment conditions?
Answer: Organised sector covers those enterprises or places of work where the terms of employment are regular and therefore, people have assured work. They are governed by certain rules and regulations. The economy is called organised because it has some formal processes and procedures. In this sector, self-employed people too have to register themselves with the government.
Unorganised sector, on the other hand, includes those activities of people where no rules and regulations are followed. Landless agricultural labourers, small and marginal farmers, artisans in rural areas and workers in small industries, casual workers in construction, trade and transport, street vendors, garment makers, rag-pickers etc.
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V.s.a.t.y.p.e
Q1 is mistake it should be service not public
Editor’s response
Thank you for pointing out the mistake. We’ve corrected.
Thank you for free notes …….may u live long n happy life ……..??