Sector of Indian economy
Basic Of Basic of Basic of
organisation economics Ownershi
activity
Organised Primary Public
sector sector sector
Unorganised Secondary Private
sector sector sector
Tertiary
sector
Primary sector
Produces goods by exploiting natural resources.
Agriculture and related sector.
Secondary sector
Natural products are changed into other forms through manufacturing sector or industrial sector.
Tertiary sector
Don’t Produce any goods but provides Services. It is also known as service sector.
Professional ➜ Service Provider
Doctor, teacher etc.
Comparing the three sectors
Gdp- gross domestic product
• It is the value of final goods and Services Produced in each sector during a Particular years that Provides the total
Production of the sector for that year.
• GDP shows how big an economy is.
• In India GDP is calculated by the central government ministry.
• Total GDP = GDP of Primary + GDP of secondary + GDP of tertiary sector
Tertiary sector has emerged as the largest Producing sector in India? Because
Answer - Government has developed hospital, School, bank etc…. which are basic needs of a country and are part of the
tertiary sector.
• Development in Primary and secondary Sectors has lead to development of tertiary sectors as they are
interdependent.
• Rise in the Income level of people has increased the demand for eating out, Shopping, tourism etc…… Which are
part of the tertiary sector.
• New Services based on information & Communication technology have essential and important these services
are growing rapidly.
Disguised unemployment / underemployment
• When more people are working than needed, this situation is called underemployment.
• This is the Situation of underemployment where people are apparently working but all of them are made to work
less than their Potential.
Ways to creates More employment
• Government can Provide cheap loans to Farmers so they do farming with the best equipment and Practice
multiple cropping to remain employment through out the year.
• Government can invest money in transportation and construct new roads, this Will create employment for labour
and taxi drivers.
• Govt. can locate industries near rural areas where a large number of people can be employed in the factories.
• Only 50% of Children go to school. If more School are constructed teachers are appointed. It can create more
than 20 lakh jobs.
• If tourism as a sector is improved it can generate more than 35 lakh job.
• Mahatma Gandhi National Rural employment guarantee act. 2005 (MGNREGA).
• The central government in India made a law implementing the Right to work in about 625 district of India.
• Under MGNREGA 2005 all those who are able to and are in need of work in rural areas are guarantee 100 days Of
employment in a year by the government.
• If the government fails in it’s duty to provide employment. It will give unemployment allowances to the People.
On the basis of organisation
Organised Unorganised
sector sector
Organised Unorganised
sector sector With
Enterprises the govt.
are Rules and
registered by regulation
the govt and are violated
have to by them
follow all the
rules.
Workers Workers
have job don’t have
Security and job security
get Pensions and don’t get
When they pension
retire. When they
retire
Offices have People
good Sometimes
working have to work
condition in dangerous
and Safe work
environment environment
without any
Safe
equipment.
Here people People don’t
have a fixed have fix
working working
hours and if hours and
they work nothing extra
time they get paid for
Paid extra overtime.
for it
Get benefit No Paid
like Paid leave,
leave holidays Or
Payment leave due to
during sickness.
holidays,
Provident
fund etc…..
How to Protect unorganised sector
• In rural area that Small and medium farmers can be Supported by timely and adequate delivery of seeds, Cheap
loans, Storage facility and good market price of their harvest.
• In urban areas – labours and Small industries can be Supported with good labours laws on favourable policy.
• Backward community. A large number of people from backward community work in the unorganised sector. They
can be Protected if they don’t face any discrimination base on their Caste and background.
On the basis of ownership
Private sector
• Owned and operated by individual or group of individual.
• Profit Making
• Reliance, TATA etc
Public sector
• By government.
• Government School, govt industry etc