EXERCISES
1. Fill in the blanks:
(i) Employment in the service sector _________ increased to the same extent as production. (has / has not)
Answer: has not
(ii) Workers in the _________ sector do not produce goods. (tertiary / agricultural)
Answer: tertiary
(iii) Most of the workers in the _________ sector enjoy job security. (organised / unorganised)
Answer: organised
(iv) A _________ proportion of labourers in India are working in the unorganized sector. (large / small)
Answer: large
(v) Cotton is a _________ product and cloth is a _________ product. (natural / manufactured)
Answer: natural, manufactured
(vi) The activities in primary, secondary and tertiary sectors are_________. (independent / interdependent)
Answer: interdependent
2. Choose the most appropriate answer.
(a) The sectors are classified into public and private sector on the basis of:
(i) employment conditions
(ii) the nature of economic activity
(iii) ownership of enterprises
(iv) number of workers employed in the enterprise
Answer: (iii) ownership of enterprises
(b) Production of a commodity, mostly through the natural process, is an activity in ________ sector.
(i) primary
(ii) secondary
(iii) tertiary
(iv) information technology
Answer: (i) primary
(c) GDP is the total value of ________ produced during a particular year.
(i) all goods and services
(ii) all final goods and services
(iii) all intermediate goods and services
(iv) all intermediate and final goods and services
Answer: (ii) all final goods and services
(d) In terms of GDP the share of tertiary sector in 2010-11 is ________.
(i) between 20 to 30 per cent
(ii) between 30 to 40 per cent
(iii) between 50 to 60 per cent
(iv) 70 per cent
Answer: (iii) between 50 to 60 per cent
3. Match the following:
Answer:
| Unirrigated land | Construction of canals by the government |
| Low price for crops | Procurement of food grains by government |
| Debt burden | Banks to provide credit with low interest |
| No job in the off season | Setting up agro-based mills |
| Compelled to sell their grains to local traders soon after harvest | Cooperative marketing societies |
4. Find the odd one out and say why.
(i) Tourist guide, dhobi, tailor, potter
Answer: Tourist guide, he is working in tertiary sector, while others are in primary sector.
(ii) Teacher, doctor, vegetable vendor, lawyer
Answer: Vegetable vendor, he is working in primary sector, while others are in tertiary.
(iii) Postman, cobbler, soldier, police constable
Answer: Cobbler, he is working in secondary sector, while others are in tertiary sector
(iv) MTNL, Indian Railways, Air India, SAHARA Airlines, All India Radio
Answer: SAHARA Airlines, it is in private sector, while others are in public sector
5. A research scholar looked at the the working people in the city of Surat and found the following.
Place of work
|
Nature of Employment
|
In offices and factories registered with the government
|
Organized
|
Own shops, office, clinics in marketplaces with formal licence
|
Organized
|
People working on the streets, construction workers, domestic workers
|
Unorganized
|
Working in small workshops usually not registered with the government
|
Unorganized
|
Complete the table. What is percentage of workers in the unorganised sector in the city?
Answer: 70%
6. Do you think the classification of economic activities into primary, tertiary and secondary is useful? Explain how.
Answer: The classification of economic activities into primary, tertiary and secondary is useful on account of the information it provides on how and where the people of a country are employed. This helps in ascertaining which sector of economic activity contributes more or less to the country’s GDP and per capita income.
If the tertiary sector is developing much faster than the primary sector, then it implies that agriculture is depleting, and the government must take measures to rectify this. Hence it is necessary to classify economic activities into these there sectors for smooth economic administration and development.
7. For each of the following sectors that we came across in this chapter why should one focus on employment and GDP? Could there be other issues which should be examined? Discuss.
Answer: We should focus on employment and GDP because growth in GDP and full employment are common goals of Five Year Plans and they also determine the size of a country’s economy. A focus on employment and GDP helps us to calculate and monitor the most important factors like: per capita income, productivity, changes in employment rate and contribution to GDP by the three sectors of economy and thus, takes necessary steps required for the upliftment of the country’s economy as a whole.
Yes, the other issues which should be examined are equality in income and wealth among the people of the country, how to eradicate poverty, how to achieve surplus food production in the country.
9. How is the tertiary sector different from other sectors? Illustrate with few examples.
Answer: The tertiary sector different from other two sectors. This is because other two sectors produce goods but, this sector does not produce goods by itself. But the activities under this sector help in the development of the primary and secondary sectors. These activities are an aid or support for the production process. For example, transport, communication, storage, banking, insurance, trade activities etc.
10. What do you understand by disguised unemployment? Explain with an example each from the urban and rural areas.
Answer: Disguised Unemployment is a kind of unemployment in which people work but don't give there 100 percent. In such a situation more people are engaged in a work than required.
In rural areas, in a family of 9 people all are engaged in the same agricultural plot. But if 4 people are with drawn from it there will be no reduction in output. So, these 4 people are actually disguisedly employed.
In urban areas, this type of unemployment can be seen mostly in service sectors such as in a family all members are engaged in a small business which can be managed by less number of persons.
11. Distinguish between open unemployment and disguised unemployment.
Answer: Open Unemployment - When people do not get opportunities for adequate employment, this situation is called open unemployment. This type of unemployment is generally found in the industrial sector of our country.
Disguised Unemployment - Disguised Unemployment is a kind of unemployment in which people work but don't give there 100 percent. In such a situation more people are engaged in a work than required.. This type of unemployment is generally found in unorganized sector and agriculture.
12. Tertiary sector is not playing any significant role in the development of Indian economy. Do you agree? Give reasons in support of your answer.
Answer: No, I do not agree with the statement that tertiary sector is not playing any significant role in the development of Indian economy. The reasons are as follows:
1. In terms of GDP, this sector emerged as the largest producing sector in India surpassing the primary and secondary sectors.
2. In terms of employment, also the rate of growth of employment in tertiary sector was very high.
13. Service sector in India employs two different kinds of people. Who are these?
Answer: The service sector in India employs the following two different kinds of people:
(a) The people involved in services which requires skills and education like Doctors, Teachers, etc
(b) The people involved in such services that may not requires skills and education like Drivers, Labors, etc.
14. Workers are exploited in the unorganized sector. Do you agree with this view.? Give reasons in support of your answer.
Answer: Yes, workers are exploited in the unorganized sector.
1. There is no fixed number of working hours.
2. They do not get other allowances apart fro the daily wages.
3. Government rules and regulations to protect the labourers are not followed there.
4. There is no job security.
5. Wages are low.
15. How are the activities in the economy classified on the basis of employment conditions?
Answer: On the basis of employment conditions, the activities in the economy are classified into organized and unorganized sectors.
Organized Sector - This sector covers those enterprises which are registered by the government and have to follow its rules and regulations.
Unorganized Sector - It includes those small and scattered units which are largely outside the control of the government. Though there are rules and regulations but these are never followed here.
16. Compare the employment conditions prevailing in the organized and unorganized sectors.
Answer:
Answer:
Place of work
|
Nature of Employment
|
In offices and factories registered with the government
|
Organized
|
Own shops, office, clinics in marketplaces with formal licence
|
Organized
|
People working on the streets, construction workers, domestic workers
|
Unorganized
|
Working in small workshops usually not registered with the government
|
Unorganized
|
17. Explain the objective of implementing NREGA 2005.
Answer: NREGA 2005 provides guaranteed 100 days of employment to all those who are able to and are in need of work, in a year by the government. If it fails, unemployment allowance are given. It is a quick measure, which takes short time to be implemented. It will iradicate poverty and provide jobs for instant.
20. Give three examples of Public Sector activities and explain why the government has taken up them.
Answer: Examples:
Railways: The government has taken up it for the following reasons -
a. Only the government can invest large sums of money on the public project with long gestation period.
b. To ensure and provide transportation at cheap rate.
NTPC: The government has taken up it to provide electricity at a lower rate than the actual cost of production. The aim is to protect and encourage the private sector especially small scale industries.
AIIMS: To provide quality health services at reasonably cheap rate was the main purpose of the government to start this.
21. Explain how Public sector contributes to the economic development of a nation.
Answer: In the following ways Public sector contributes to the economic development of a nation:
a. It promotes rapid economic development through creation and expansion of infrastructure.
b. It creates employment opportunities.
c. It generates financial resources for development.
e. It encourages development of small, medium and cottage industries.
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