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CLASS 10 SST ECONOMICS CHAPTER 2 SECTORS OF THE INDIAN ECONOMY OTHER QUESTIONS - ANSWERS EXTRA QUESTIONS AND ANSWERS ADDITIONAL QUESTIONS AND ANSWERS [ GOLDEN REFERENCE BOOK ]

CLASS 10 SST ECONOMICS CHAPTER 2

SECTORS OF THE INDIAN ECONOMY

OTHER QUESTIONS - ANSWERS 

EXTRA QUESTIONS AND ANSWERS

ADDITIONAL QUESTIONS AND ANSWERS

[ GOLDEN REFERENCE BOOK ]

 

 

2. COMPARING THE THREE SECTORS 
Notes: 
production activities in the [the primary, gecondary 
tertiM•y produce a very number Of goods and gerviees, 
2. Number Of people are working in them to produce and 
3. In an economy there could be orge or more sectors which aredominant in terms oftotal 
production and employment. While Other sectors may be relatively in Size. 
Q 2. l. HOW value of goods is used to determine production level in the economy? 
Ans. The following points clarify the process to determine production level in the ecönomy: 
I. Value Of goods and services in terms of rupee should be used rather than adding 
up the actual numbers. 
2. For example, if 5,000 kgs ofwheat is sold at 4 per kg, the value of will 
be 20,000. 
S. The value Of 2,000 coconuts 10 per coconut will be e 20,000. 
4. The value Of goodsand services in the three sectors is calculated, and then added 
up. 
Q 2.2. What precaution should be taken for calculating value Of goods and 
services? 
Ans. The following precaution is- required: 
I. Not every good (or service) that is produced and sold needs to be counted. Only 
the final value of goods and services should be counted. 
2. For example, a farmer who sells wheat to a nour mill for R 8 per kg. The mill 
grinds the wheat and sells the flour to a biscuit company for 10 per kg. 
3. The biscuit company uses the flour and Other things sueh as sugar and Oil to 
make 4 packets of biscuits. It sells biscuits in the market to the consumers for 
60 (e 15 per packet). Biscuits are the final goods, i.e., goods that reach the 
cons umers. 
TO Yourself 
• What is Gross Domestic Product? Why is the value of intermediate goods not include 
to calculate the Gross Domestic Product? 
(CBSE 2016) 
Q 2.3. Why are only "final goods and services" counted? 
Ans. The value of the final goods and services is counted. Because the value of 
intermediate goods and services are already included in the value of the final goods. 
Q 2.4. What do you mean by Gross Domestic Product (GDP)? 
Ans. The total value of the production of the final goods produced in all the sectors 
during a financial year is the GDP of that country for that year. 
Similar Questions 
I. What do you mean by the term Gross Domestic Product? What precautions should 
be taken in calculating GDP? 
2. What does GDP stan d for? 
(CBSE 2015) 
(CBSE 2016)

 

sciEQce 
Q. 2.5. How GDP is measured in India? 
Ans. The ministry Of Trade & Commerce, government of India, calculates the GDP Of 
Our country. It collects the data from all government departments, industrieso state 
governments and union territories; and On the basis of this data it calculates the GDP Of the 
country _ 
Similar Question 
• How will you calculate the GDP of a country? 
2.1. Historical Change in Sectors 
(CBSE 2015b 
Q 2.1. l. What is the history of developed countries in terms Of sectoral changes? 
Or 
Describe the historical changes that have taken place in sectors Of the economy 
(CCE 2012) 
in the developed countries? 
Ans. Please see NCERT Intext Question no. I (on page no. 0-56)? 
Q 2.1.2. "When a country develops, the contribution of primary sector declinæs and that 
Of secondary and tertiary sector increases." Analyse the statement. 
(HOTS Question) (CCE 2012) 
Ans. The statement is correct. When a country develops, the contribution Of primary 
sector decreases and that of secondary and tertiary sector increases. Development brings 
new opportunities to the people of the country and they shift towards manufacturing and 
service sectors. Also, as development increases, use of modern farming methods does not 
require more farmers to work in a farm. Labourers shift to cicies to find jobs in manufacturing 
or tertiary sectors. 
Q. 2.1.3. Why has the agriculture sector in India got a major set back in spite 
Of increase in the G.D.P. growth rate? Analyse the reasons. 
(CBSE 2015) 
Ans. The agriculture sector in India remained largely labour intensive and could not get 
the technological boost to increase productivity of the land. The small land holdings of 
farmers and lack of commercialisation of the sector has brought major setback to this sector. 
GDP did grow but due to tertiary sector rather than agriculture sector. 
3. PRIMARY, SECONDARY AND TERTIARY SECTORS IN INDIA 
Q 3.1. What is the trend of three sectors in India over the last forty years? 
Ans. During the last 40 years the production has increased manifolds in all the three 
sectors i.e.. primary, secondary and tertiary sectors. But in the tertiary sector production has 
increased most. 
— The reason is that the new generation is well educated. They don't want to work in 
the primary sector. Secondly, With improved technology less labour force is required 
in primary sector nowadays. So, today's youth want to work in tertiary sector. 
Similar Question 
• Which sector has emerged as the largest producing Sector in Indian economy in the 
last decade? Give reasons. 
(CBSE 2015)

 

3.1. Rising Importance of the Tertiary Sector in Production 
Q 3.1. l. Why is the tertiary sector becoming so important in India? Give at 
least four reasons. 
(CBSE 2016) 
Ans. The following are the reasons as to Why tertiary sector is- becoming so important 
in Indio: 
I. Government role in service sector: In any country several ser,'ices Such as 
hospitals, educational institutions, post and telegraph sewices. police stations, courts. village 
administrative omces, municipal corporations. defence, transport, banks, insurance companies, 
etc. are required. These are basic services. In India, these services have increased manifold. 
2. Growth in primary and secondary sector: The development of agriculture and 
industry requires development of services such as transport, trade, storage and the like. 
More the development Of the primary and Secondary sectors, more would be the requirement 
for such services. 
3. Rise in income levels: As sharp increase has taken in the number Of persons in 
middle class. They Start demanding more services like eating out, tourism, shopping, private 
hospitals, private schools, professional training etc. This type of changes we xan see quite 
sharply in cities, especially in big cities and towns. 
4. Growth in telecom sector. For last 20 years or so, certain new services such as 
those based on information and communication technology have become important and 
essential. The production of these services has been rising rapidly. 
Examples: Telephpnw'mobiles, Internet, so many apps on mobile such as Facebook, etc. 
Questions 
1. Highlight any three factors responsible for the growth of service sector in the 
(CBSE 2015) 
Indian economy. 
2. Write three reasons for the rising importance of tertiary sector in India. 
(CBSE 2015) 
Try Yourself 
• What is meant by service sector? Explain the need and importance Of service sector. 
(CBSE 2016) 
Q 3.12. Is service sector growing equally well in India? 
Ans. Yes, service sector i.e., tertiary sector is growing at a very fast pace but only in 
organised sector. 
— But in unorganised sector i.e., where persons Of different employment are working 
independently on daily wages, they are suffering the most. 
— We can take an example; suppose there is a small courier company, it has limited 
means of doing his business, so he will have a limited amount of income. But on the 
Other hand big courier companies like Blue Dart, Overnite Express etc. do majority 
Of the business and earn huge profits as [hey have money power and manpower. 
• There are a large number of workers working in services such as small shopkeepers, 
repair persons, transport persons, etc. 
These people manage to •earn a Jiving hardly. 
— Hence, only a part Of this sector is growing in important services.

 

• Which sector has grown by Il times in r•eceni years? 
3.2. Where are Most of the People Employed? 
Notes: 
(CBSE 2016' 
A remarkable fact India is that While there a Change in the share Of 
the in GDP, a similar shin has not taken place in jobs. 
2. The primary sector remains to be the largest employer at present. 
Q g.2.l. Why didn't a shift out Of primary sector happen in case of employment 
as it happened in ease of GDP? 
Ans. The following are the reasons: 
l. Not enough jobs have created in the secondary and tertiary sectors. Because 
in both Of those two Sectors, new technolokv and new machineries require less 
man-power and production is more. 
2. Even though industrial output or the production of goods went up by more than 
nine times during 1970-2011, employment in the industry went up by around 
thrc•e times. 
3. The same thing is in tertiary sector as well. While work in the service Sector 
increased by more than 14 times. employment in the service sector rose around 
five times. 
4. More than half of the workers in the Country are working in the primary sector, 
mainly in agriculture: but producing only a quarter of the GDP. 
5. The secondary and tertiary sectors produce three-fourth Of the produce whereas 
they employ less than half the people. 
Q 3-2.2. Explain With example the concept Of underemployment in agriculture 
sector of India. 
Or 
What is underemployment? Explain With an example in agriculture 
in India. 
Ans. Underemployment is a situation where more people are working for a work than 
requir«i. In India. it is mostly present in agriculture sector. 
For instance, take the case of a small farmer. Laxmi. who has only about two hectares 
of unirrigated land which depends on rains; and growing crops like jowar and arhar. 
• All five members Of her family work in the plot throughout the year. 
— They have nowhere else to go for work. 
— We see that everyone is working, none remains idle, but in actual fact their labour 
effort gets divided. 
Each one is doing some work but no one is fully employed.

 

• This is the situation of underemployment. where people,seem to work but all of them 
are made to work less than their potential. This kind of underemployment is hidden 
m contrast to someu.•ne who does not have a job and is clearly visible as unemployed. 
Hence. it is also called disguised unemployment. 
Q 3.2-3. If Some people from agriculture sector shift to other job, will production 
in agriculture Sector decrease? 
Ans. Important Points: 
Based on example of Laxmi, tee eau have below Scenario: 
Supposing a landlord, Sukhram, comes and hires one or members ofthe family 
to work on his land. 
2. Laxmi's family is now able to earn some extra income. Since, we do not need five 
people to 100k after that small plot. two people moving out does not affect 
production on their farm 
3. In the above example, two people may move to work in a factory. Once again the 
earnings Of the family Would increase and they would also continue to produce 
same from their land. 
This means that even if we remove a lot Of people from agricultural sector and 
provide them With proper work elsewhere, agricultural prehduction Will not suffer 
much. 
Q 3.2.4 
. Describe underemployment in other sectors. 
Ans. l. 
Underemployment is also there in other sectors. For example there are 
thousands Of casual workers in the service sector in urban areas Who 100k for 
daily job. 
Daily wagers like painters, plumbers, repair persons •and others doing Odd 
2. 
jobs don't find work everyday. 
There are people of the service sector like vendors, selling something where 
3. 
they even after spending whole day earn very little. 
These people do not have better opportunities and most of them are illiterates. 
4. 
Q• 3-2.5. In which sector is Seasonal and Disguised Unemployment most 
(CBSE 2015) 
prevalent in India? 
Ans. Primary Sector. 
3.3. How to Create More Employment? 
Q. 3.3.1. In what ways can one increase employment for people in rural areas? 
Explain with e. 
Ans. The following example can explain how one can increase employment for people: 
1. Take the case of Laxmi who has two-hectare plot of un-irrigated land. 
2. ne government or bunks can give some loan, to construct a well for her family 
to irrigate the land. 
3. Laxmi will then be able to irrigate her land and take a second crop, wheat, 
during the rabi season.

 

Sci 
4. This can provide employnent to two people for 50 days (including sowing, 
watering, fertiliser application and harvesting). 
5. So, two more members of the family enn be employed in her own field. 
Now suppose a new dam is made and canals are dug for irrigation. 
— This could lead to a lot or employment generation within the agricultural sector 
itself reducing the problem Of underemployment. 
I. NOW, yuppose Laxmi and other farmers produce much more crops. 
2. They would also need to sell some Of this. For this they require to transport 
their products to nearby town. 
8. If the government invests Some money in transportation and storage of crops, 
or make bettor rural roads so that mini-trucks reach ever"vhere; several 
farmers like Laxmi, who now have access to water, ean continue to grow and 
sell these crops in nearby towns. 
4. The following extra persons Will get employment: 
Truck owners, truck drivers, traders selling crops, traders selling 
fertilizers, pumps etc. 
so finally, if farmers grow more crops using latest technology, it will give 
them more employment. 
There are many other ways by which the employment in rural areas can be increased. 
Let us say in a couple of villages adjacent to each other wheat production is very high. 
So a flour mill can be set near these villages. 
— There will be many advantages of this. 
— The farmers Will not have to travel to far off places to sell their produce. 
— They Will save both time and money as they Will save the transportation cost. 
Then, the people of these villages will be able to get job in the mill and they can 
work there and will not have to migrate to cities to find job. 
Similarly, cold storages should be set up near the hub centres so that farmers can keep 
their produce there and may sell later when they get good price. 
With this lots Of people Of the area will get employment. 
This way there are many more things we can do to increase employment in rural areas. 
Q. 3-3.2. Which type of industries can be set up to provide employment and 
increase income of the farmers in semi rural areas? 
(CBSE 2012) 
Ans. 1. In order to create more employment, government should promote and locate 
industries and services in semi-rural areas where a large number of people 
may be employed. 
2. Opening n cold storage could give an opportunity for farmers to store their 
products like potatoes Ond onions and sell them when the price is good. 
3. In villages near forest areas, Govt. or NGOs can Start honey collection centros 
where farmers can come and sell Wild honey. 
4. It is also possible to set up industries that process vegetables and agricultural 
produce like potato, sweet potato, rice, wheat, tomato, fruits.

 

SECTORS 
5. This will provide employment in industriOg located in semi-rural aVeas. 
Q. 3..9.3. What are the other sectors in which employment can be increased? 
(CBSE 2012) 
Ans. There are various other sectors in which employment can be increased. 
1. In India about 48 per cent Of the children don't go to schools. Most Of these 
children have to work as child labourers, Which is also against the law. 
— If these children are to attend school, then more buildings. teachers, Other 
staff members Will be required. 
2. If the government increase the health services; again. many employment 
opportunities can be created' 
3. Depending upon local conditions, state Or region has potential for increasing 
the income and employment for people in that area. 
— It could be •tourism, or regional craft industry, or new services like IT. 
4. Only in tourism Sector WC can give additional employment to more than 35 
lakh people. 
Q. 3.3.4. What are the objectives of NREGA 2005? 
(CBSE 2012) 
Ans. Objective of NREGA 2005 is to provide guaranteed employment Of atleast 100 
days to atleast one person in a family in a calendar year. 
— Otherwise the government will give unemployment allowance. 
— Work in NREGA is related to land work which Will be helpful in the future, 
— This is also a part Of Right to Work Act. 
Similar Questions 
I. Write any two points about NREGA, 2005? 
(CBSE 2015) 
2. State any three features of the National Rural Employment Guarantee Act, 2005. 
(CBSE 2015) 
3. How many days work (employment) guarantee provided by Government under 
MGNREGA-2005? 
(CBSE 2015) 
Q. 3.3.5. Why do you think NREGA, 2005 is referred to as Right To Work? 
(CBSE 2015) 
Ans. NREGA 2005 is referred to as Right to Work because it guarantees employment 
to the people who need it. 
Q. 33.6. Explain the causes Of unemployment in India and suggest measures 
to reduce unemployment in India. 
(HOTS Question) (CBSE 2011) 
or 
'Unemployment is a major problem in a country like India. ' Suggest various ways for 
generating employment opportunities both in rural and urban areas. 
Ans. Following are the causes 0/ unemployment in India.' 
(i) Excessive Burden of Population on Cultivation: Land area is fixed so 
employment opportunities from agriculture and its allied services are very limited. 
Therefore, employment opportunities will have to be created in larger number in 
other areas.

 

(ii) Rapidly Increasing Population: Our population has been increasing more fast 
than the increase in number of opportunities for employment. Steps to check the 
population increase should be taken. 
(iii) Low Productivity in Agricultural Sector: Agricultural development has been 
slow. This sector has been incapable of meeting the increasing needs of the 
developing economy. 
Following are the reduce unemployment in India: 
(i) More and mons heavy & basic industries and consumer goods industries should 
be installed, This Will provide more employment, 
(ii) Cottage and small seale industries Should be developed. They will provide more 
employment. In these industries manual labour requirement is more. 
(iii) Emphasis should be given to vocational education. 
r Question 
• What is unemployment? Suggest any four ways to increase employment opportunities 
(CBSE 2015) 
in rural areas. 
4. DIVISION OF SECTORS AS ORGANISED AND UNORGANISED 
Q. 4.1. How the activities of economy be classified into organised and 
unorgani sed sector? 
Ans. A u.•ay Of classifying activities in the eo•nomy is as below: 
l. How the people are employed? 
2. In what conditions are they working? 
3. Are their employers following any rules and regulations in their employment? 
Q. 4.2. Distinguish betw een organized and unorganized sector. (CBSE 2015) 
Organised Sector 
Terms Ofemployment clear 
Registered under the labour deptt. 
2. 
of the government 
Formal process and procedure 
Security of employment 
Exploitation minimum 
. More pay and facilities 
Retirement benefit 
Long term employment 
Similar Questions 
UnorganisOd Sectar 
. Terms of employment not clear 
2. Not registered 
. No formal process and procedure 
No security 
4. 
Exploitation mafimum 
Less pay and facilities 
7. No retirenient benefit 
Largely short term employment 
I. Compare the service conditions of organised sector with unorganised sector. 
(CBSE 2016)

 

2. What is the difference the employment conditions between organised 
sectors of economy? 
(CBSE 2016) 
Q, 4.3. Explain with example the characteristics of organised sector. 
Ans. Organised sector is one in Which the business houses are registered with the 
government and they are required to follow rules and regulations under various laws such 
Factories Act, Minimum Wages Act, payment of Gratuity Act, ESI, Shops and 
Establishment Act etc. 
• Here working hours are fixed for the employees; they get their salary/wages on 
stipulated dates. 
— They are paid overtime if they work for late hours. 
— Every thing in the system is organised, so it is called organised sector. 
• We can take the example of companies like Wipro, Tata Steel, Bajaj Auto etc. These 
all come under the category Of organised sector. 
Similar Questions 
I. Mention any four advantages of working in an organised sector. 
(CBSE 2011) 
2. What is an organised sector? Give any three benefits of organised sector. 
(CBSE 2016) 
Q. •IA. Explain with example the characteristics Of unorganised sector. 
Ans. Unorganised sector is one where there are small and scattered units. 
— These units are basically outside the control Of the government. 
— They do not follow most Of the government norms. 
— The jobs in these units are low paid and not regular. 
There is no certainty Of job. 
— Working hours for the employees are long and no overtime is paid. 
— Leaves are not granted etc. 
We can take the example of small manufacturing units, shops etc. These are not registered 
with the government agencies. So they fall under the category of unorganised sector. 
Following occupations are also considered in unorganised sector. 
— Doing small jobs such as, street vendors, repair shops etc. 
— Farmers who work on their own and employ labourers whenever they require. 
4.1. How to Protect Workers in the Unorganised Sector? 
Notes: 
3. 
4. 
The organised sector offers jobs thatare the most sought-after. 
The employment opportunities in the organised sector have beh•n expanding very slowly. 
But it is also common to find many organised sector companies, not following rules and 
behaving like unorganised sector. 
Due to unemployment, a large number Of workers are forced to join the unorganised 
sector jobs, which pay a very low' salary.

 

GOLDEN SOCIALISCIENCE 
5. They are often not paid a fair wage. These jobs ßre not secure. ney get no other 
IR' nefits. 
65 Besides for more work, is algo for and support of the 
workers in the unorganised Sector, 
Q. •1.1. I. Who are the vulnerable people Who need protection in rural and 
urban areas? 
Ans. Vulnerable people who need protection in rural and urban areas are: 
Rural areas: Farm landless labourers, masons, small and marginal farmers, weavers, 
blacksmiths and many more Who work on daily wages are such people. These people are 
made to work beyond the required hours of work and are lowly paid. 
Urban areas: In urban areas also people are vulnerable. Workers in small factories, 
mechanics, casual Workers, Carpenters, masons, plumbers, people working in garages Or in 
transport line etc. fall under this category. 
— Besides getting the irregular and low paid work, these workers also face social 
discrimination. 
Q. 4.1.2. How can the Workers in the unorganised sector be protected? Explain. 
(CBSE 2011) 
Ans. Following are the measures that will help to protect the tabourers in the unorganised 
sector: 
(i) Government should make rules and regulations in the unorganised sector. 
(ii) People should work in such an unorganised sector where the work is regular. 
(iii) Rules of ESI, provident fund and other labour rules should be strictly followed in 
this sector also. 
Similar Questions 
I. Compare the employment conditions prevailing in the organised and the unorganised 
(CBSE 2015) 
2. Elaborate the employment conditions Of people working in the unorganised sector? 
(CBSE 2015) 
3. Compare and contrast the working conditions in organized and unorganized sectors. 
(CBSE 2015) 
Q. 4.1.3. You are seeking employment. In which Of the sectors-organized or 
unorganized would you like to work? Justify your answer. 
(CBSE 2015) 
Ans. I would prefer to work in organised sector because it provides job security, better 
growth prospects and less exploitation by the employer. 
Q. 4.1.4. Explain any four institutional reforms programmes introduced by the 
government in the interest Of farmers. 
(HOTS Question) (CBSE 2011) 
Ans. Institutional Reforms Programmes have been intn»duced in India in Agriculture 
sector in the interest of farmers. They have been summarised as follows: 
1. Consolidation of land holdings, co-operation and abolition of Zamindäri system 
were given priority to bring about institutional reforms in India, after 
Independence.

 

IECONOMY 
2. Reforms to improve agriculture in 1960s; Green Revolution based on package 
technology and the white revolution Was Some stratifies for the same. 
3. 1980. 1990 and 2016: Both institutional and technical reforms were launched 
during these years, Of like Crop against drought, 
flood. cyclones and other Natural disasters. 
4. Steps Were taken for the establishments of Grameeri banks to pmvide loan 
facilities to the farmers at low rate of Interest. 
5. Minimum Support Price and Remunerative and Procurement Prices have been 
announced by the Government to protect the farmers from the exploitation Of 
Middle Men and Speculators. 
Q. 4.1.5. Do you agree that agriculture is an activity of unorganised sector in 
India? Give any four points. 
(CBSE 2012) 
Ans. Yes, I agree that agriculture is un activity of unorganised sector in India. The 
below points explain it. 
l. Farm labourers are exploited by big landlords by paying very less wages to 
them. 
2. There is no overtime payment to farm labourers- 
(But days, due to Shortage Of at the time Of harvesting. workers bargain 
for more wages.] 
a. There is no medical benefit available to farm labourers. 
4. There is no social security or Old age benefits available to farm labourers. 
5. SECTORS IN TERMS OF OWNERSHIP: PUBLIC AND PRIVATE SECTORS 
Q. 5.1. Distinguish sectors in terms Of ownership. 
Ans. Sectors can be distinguished on the basis Of ownership. 
— A unit or company completely owned by the government is a public sector unit. 
— All the assets and liabilities are owned by it. 
It is responsible of running day to day affairs and conduce the business of the 
company. 
— Indian Airlines, GAIL, MMTC, Bharat Petroleum, Railways etc. are some examples 
of public sector units. 
Whereas the company or a unit owned by private people is said to be a private 
sector company. 
— Here all the assets and liabilities of the company are owned by these people who 
own them. 
— The functioning of the company is the responsibility of the management of the 
company. 
— Tata Motors, Reliance Industries, Wipm etc. are the examples of private sector 
units. 
Similar Questions 
I. Classify economic activities on the basis of ownership. Mention one feature Of each. 
(CBSE 2016) 
2. State the basis on Which the sectors Of economy are classified into public and 
(CBSE 2017) 
priv ate?

 

Q. 5.2. Differentiate between the public sector and private sector by giving 
(CBSE 2011) 
examp les. 
(CBSE 2012, 2016) 
Distinguish between publie and private sector. 
Ans. Comparison and contrast of private and public sector: 
Distinction 
2. Motive 
a. Examples 
Private sector 
In the private sector. ownership of 
assets and delivery ofgen•ices is in 
the hands Of private individuals or 
companies. 
Private geetor activities are guided 
by the motive of earning profits. 
Public schools, private companies, 
coaching centers, private hogpitals, 
Shopkeepers. etc, 
publi$ 
In public sector. the government 
owns most of the assets and provides 
the services. 
The purpose of public sector is not 
just to earn money but also provide 
the services to the people at low cost. 
Government schools, hospitals, 
dispensaries, post Offices, police 
stations, railways, etc. 
I. Differentiate between the public and private sectors in an economy With examples. 
(CBSE 2015) 
2. What is the differe nee be tween pub lie sector and p rivate sector? (CBSE 2016) 
Q. 5.3. What is the difference between the motive of a public sector and private 
sector? 
Ans. 1. Motive Of public sector units is to provide best services and goods to the public 
at a low cost. These units are owned and managed by the central and state 
gov ernm 
2. In contrast the private sector units main motive is to earn maximum profit 
from goods and services they Offer. These units are owned by private people. 
Though some big companies like Reliance, Tata etc. create a fund for social 
• But since last 25 years, due to competition, private sector provides services 
and material at low cost than the public sector. 
Example: Domestic Airlines, telephone services, internet and mobile, T.V. channels, 
Q. 5.4. Explain with examples the reason for government to spend on certain 
activities. 
Ans. — It is the duty Of the government to provide public facilities to their people like 
roads, bridges, flyovers, street lighting, police, for safety of people etc. 
— These things can't be provided by the private sector as huge money is involved 
in building all these facilities. The government spends money on these 
infrastructure as it gets huge revenues from the public in the form of direct 
or indirect taxes.

 

— Further the governmc"it is also responsible to make and announce policies for 
the benefit Of the people so that big industries are set up. This helps the 
economy of the grow further. 
such as: B.H.E.I., N.T.P.C, steel Plants. etc. 
Moreover, government also builds darns. power houses, nuclear stations etc. 
for the generation of electricity so that its people get it at cheaper rate. 
Question 
• Is it necessary to have the public Substantiate your by examining 
role Of Government. 
(CBSE 2015) 
Q. 5.5. What are the responsibilities Of the government towards its citizens? 
Ans. Following are the responsibilities of the government towards its citizens: 
— The Government in India buys wheat and riee from farmers at a 'fair price'. The 
government Stores this in its go-downs and sell at a lower price to eonsumers through 
ration shops. The government has to bear some Of the cost. 
In this way, the government Supports both farmers and consumers. There are a 
large number Of activities which are the primary responsibility Of the government. 
The government must provide health and education facilities to all. 
— Running proper schools and providing quality education, particularly elementary 
education, engineering colleges, medical colleges, universities, etc., is the duty of the 
government. 
- Similarly, we know that nearly half Of India's children are malnourished and a 
quarter Of them are critically ill. The government should help them. 
Government also needs to pay attention to aspects of human development such as 
availability of safe drinking water, housing facilities for the poor and food and 
nutrition. 
— It is also the duty Of the government to take care of the poorest and most ignored 
regions of the country through increased spending in such areas. 
IV. åUESTlONS 
page 21 
Please refer Table 2.1 at page no. 21 of NCERT. 
Q. l. Complete the above table to show how sectors are dependent on each 
Ans. Second blank column: This is an example which indicates that Primary sector 
is dependent on secondary sectors. This is because cotton purchase Of the industries is 
cultivated by farmers Who belong to primary sector. If the demands for cotton reduces, 
farmers will be impacted by lack of demand from industry. 
Third blank Column: This example shows that farmers depend on the prices Of 
fertilizers, tractors, pumpsets etc. Primary sector is dependent on secondary sector in the 
sense that higher price of input to farmers will reduce their profit.

 


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