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CLASS 10 SST ECONOMICS CHAPTER 2 SECTORS OF INDIAN ECONOMY [SHORT ANSWER TYPE QUESTIONS]

Short Answer Questions

Q. 1. Differentiate between economic and non-economic activities. Give any two

points.

Ans. (i) Economic activities are such activities which gets you some income while

performing them. For example, a doctor earning his income by treating his patients.

(ii) Non-economic activities are the activities which do not earn you any income. For

example, a doctor treating his own family members doesn’t earn any income.

Q. 2. Explain the objective of implementing the MG NREGA, 2005.

Ans. Its main objective was to provide employment to the unemployed.

According to MG NREGA, all those who are able to and are in need of work would be

guaranteed 100 days of employment in a year by the government.

If the government fails in its duty to provide employment, it will give unemployment

allowances to the people.

Q. 3. In what ways can employment be increased in urban areas?

Ans. Rapid industrialisation can create employment opportunities for a number of

people in urban areas.

Tourism can be developed in cities providing massive number of jobs by opening hotels,

restaurants for the tourists.

Setting up of new services like IT has also opened up new vistas for plenty of people

and provided jobs in urban areas.

Q. 4. How would income and employment increase if farmers were provided with

irrigation and marketing facilities?

Ans. Suppose a new dam is constructed and canals are dug to irrigate many such

farms, it could lead to a lot of employment generation within the agricultural sector itself

and in reducing the problem of underemployment.

Farmers required to transport their products to a nearby town. If the government invests

some money in transportation and storage of crops or makes better rural roads so that

mini trucks can reach everywhere. This activity can provide productive employment to

not just farmers but also others such as those in services like transport or trade.

Q. 5. What is an organised sector? Give any three benefits of the organised

sector.

Ans. Organised sector covers those enterprises or places of work where the terms of

employment are regular and therefore, people have assured work. They are registered

by the government.

Benefits of the organised sector:

(i) Workers enjoy security of employment. They are expected to work only for a fixed

number of hours.

(ii) If they work more, they have to be paid overtime by the employer.

They get paid leaves, payment during holidays, provident fund, gratuity, etc.

Q. 6. What do you mean by ‘unorganised sector’? Give two disadvantages of the

unorganised sector.

Ans. Unorganised sector is characterised by small and scattered units which are largely

outside the control of the government.

Two disadvantages:

(i) Employment is not secure.

(ii) Jobs here are low-paid and often not regular and there is no provision for overtime,

paid leaves, holidays, etc.

Q. 7. Why is the public sector required to provide certain things at a reasonable

cost?

Ans. (i) The purpose of the public sector is not just to earn profits but to think about the

social benefits also.

(ii) There are several things needed by the society as a whole but which the private

sector will not be able to provide at a reasonable cost.

(iii) Some of these require large sums of money to be spent, which is beyond the

capacity of the private sector.

Q. 8. Why is tertiary sector also called ‘service sector’?

Ans. Since the activities of tertiary sector generate services rather than goods, it is

called service sector. It includes some essential services that may not directly help in

the production of goods. We require teachers, doctors and those who provide personal

services such as washermen, barbers, cobblers, lawyers and people to do

administrative and accounting works. In recent times, certain new services based on

information technology such as Internet cafe, ATM booths, call centres, software

companies, etc. have become important.

Q. 9. Other than agriculture, in which sectors can under employment occur?

Ans. Underemployment can also happen in other sectors.

There are thousands of casual workers in the service sector in urban areas who search

for daily employment. They are employed as painters, plumbers, repair persons and

others doing odd jobs. Many of them don’t find work every day. We also see other

people of the service sector on the streets pushing a cart or selling something where

they may spend the whole day but earn very little. They are doing this work because

they do not have better opportunities.

Q. 10. How is tertiary sector different from other sectors?

Ans. In primary sector, most of the activities are undertaken by exploiting our natural

resources.

The secondary sector does the processing of the raw material produced by primary

sectors in manufacturing industries.

Tertiary sector neither produces goods nor transforms the shape of natural resources,

but the activities undertaken by this sector support both primary and secondary sectors.

Q. 11. What development has taken place in developed countries for each sector?

Ans. In the past 100 years, there has been a further shift from secondary to tertiary

sector in developed countries. The service sector has become the most important in

terms of total production. Most of the working people are also employed in the service

sector. This is the general pattern observed in the developed countries.

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