Economics · General Awareness

Economic Sectors and Infrastructure

1,725 Questions

This topic covers the classification of primary, secondary, and tertiary economic sectors, along with their infrastructure requirements. Questions often explore the impact of globalization, privatization, and technology on various industries. This material is frequently tested in SSC, state PSC, and UPSC examinations.

Primary and secondary sectorsBanking and service sectorPrivatization and economic reformsIndustrial growth and laborFive-Year Plans priorities

Economic Sectors and Infrastructure Questions

Multiple choice
  1. Assisting and evaluating rural welfare programmes

  2. Computer hardware

  3. Consultant service of export promotion

  4. Controlling pollution in big industries

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

CAPART (Council for Advancement of People's Action and Rural Technology) is a government organization that assists and evaluates rural welfare programs. It works to improve rural development initiatives and supports NGOs working in rural areas. The other options are unrelated to CAPART's mission of rural development.

Multiple choice
  1. fertilizers

  2. pharmaceuticals

  3. basic chemicals

  4. glass articles

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Sindri in Jharkhand is home to one of India's largest fertilizer plants, the Fertilizer Corporation of India. It has been famous for fertilizer production since the 1950s. The town is not primarily known for pharmaceuticals, basic chemicals, or glass manufacturing - its identity is tied to the fertilizer industry.

Multiple choice
  1. gold mining

  2. petrochemical industry

  3. manufacturing industry

  4. wheat production

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Ankleshwar ( Ankaleshwar) in Gujarat is renowned for its petrochemical industry, being one of India's largest petrochemical hubs. It is not known for gold mining, manufacturing, or wheat production.

Multiple choice
  1. Only (A)

  2. Only (B)

  3. Only (C)

  4. (B) and (C) only

  5. All (A), (B) and (C)

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

During the 2008 financial crisis, the US auto industry (particularly General Motors and Chrysler) and banking/financial services sector faced severe liquidity crises and required government bailout packages. The Troubled Asset Relief Program (TARP) provided these funds. Agricultural sector was not in crisis during this period and did not require bailouts.

Multiple choice
  1. agriculture provides the requisite foodstuff for the masses

  2. agricultural development has nothing to do with education

  3. agriculture sector contributes about half of the income

  4. most of the industries are directly dependent on agriculture

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Agriculture contributes significantly to India's GDP (around half in historical context), making it economically crucial. Option C captures the economic rationale.

Multiple choice
  1. Milk

  2. Dairy Products

  3. Meat

  4. Rubber and Cotton

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Rubber and cotton are major agricultural commodities traded on futures exchanges globally, including India's NCDEX and MCX. These commodities have significant trading volumes due to price volatility and industrial demand. Perishables like milk, dairy, and meat are less common in futures trading.

Multiple choice
  1. Public Sector

  2. Private Sector

  3. Household Sector

  4. Services Sector

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The household sector has consistently been the largest contributor to gross savings in the Indian economy. Household savings include financial assets like bank deposits, insurance, and physical assets like gold and real estate, forming the backbone of India's savings culture and investment capital.

Multiple choice
  1. 75 % of the capital

  2. 51 % of the capital

  3. 85 % of the capital

  4. 100 % of the capital

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The question appears to define public sector enterprises as those where the state has complete ownership (100% of capital). While many public sector enterprises operate with majority government ownership (51% or more), this specific question seems to focus on the strict definition where the state owns all capital.

Multiple choice
  1. Photography

  2. Hotel Industry

  3. Wrist Watch Industry

  4. IT industry

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Historically, photography consumed approximately half of the world's silver production due to the light-sensitive silver halides used in film and photographic paper. While digital technology has reduced this demand, it was the dominant industrial use for decades.

Multiple choice
  1. Cotton

  2. Paper

  3. Cement

  4. Timber

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The paper industry is traditionally one of the most heavily regulated industries due to environmental concerns about deforestation, water pollution from pulping processes, and the need for sustainable forestry management. Governments control logging permits, environmental standards, and export policies.

Multiple choice
  1. Agriculture Sector

  2. Service Sector

  3. Manufacturing

  4. Industrial Sector

  5. None of these

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The banking sector falls under the Service Sector (also called the Tertiary Sector) of the economy. The service sector includes activities that provide services rather than producing physical goods. Banking, financial services, insurance, and other similar services are quintessential service sector activities. The other options - Agriculture (Primary Sector), Manufacturing, and Industrial Sector (Secondary Sector) - involve production of goods, not services.

Multiple choice
  1. Agriculture Sector

  2. Service Sector

  3. Manufacturing

  4. Industrial Sector

  5. None of these

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Banking falls under the Service Sector (also called Tertiary Sector), which provides services rather than goods. The Service Sector includes financial services, insurance, real estate, healthcare, education, and other service-oriented industries. Banking is fundamentally a service industry that deals with financial intermediation rather than manufacturing or agricultural production.

Multiple choice
  1. Computer chips

  2. Potato chips

  3. Textile garments

  4. Car engines

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Textile garments constitute one of India's largest export sectors, contributing significantly to foreign exchange earnings. The other options (computer chips, potato chips, car engines) are either not major exports or India is not a dominant player in those categories globally.

Multiple choice
  1. Agriculture Sector

  2. Service Sector

  3. Manufacturing

  4. Industrial Sector

  5. None of these

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Banking is part of the tertiary or service sector of the economy, which provides services rather than goods. The primary sector includes agriculture and mining, while the secondary sector includes manufacturing and industry.

Multiple choice
  1. Public Sector

  2. Private Sector

  3. Household Sector

  4. Services Sector

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The Household sector is the largest contributor to gross savings in India, typically accounting for 60-70% of total gross domestic savings. This includes savings by households in financial assets (bank deposits, life insurance, pension funds, etc.) and physical assets (gold, real estate). Public and private sectors contribute much less to total savings.