Unit 3: Sectors of the Indian Economy (JAIIB-Module A)
1. Which of the following is the main activity of the primary sector of the Indian economy?
A. Manufacturing automobiles
B. IT services and banking
C. Agriculture, fishing, and mining
D. Retail trade and transportation
The primary sector involves activities that extract and produce raw materials from nature such as agriculture, fishing, forestry, and mining.
2. The secondary sector primarily includes which type of economic activity?
A. Farming and animal husbandry
B. Manufacturing and industrial production
C. Banking and insurance services
D. Transport and communication
The secondary sector converts raw materials from the primary sector into finished goods through manufacturing and industrial processes.
3. Which of the following is considered a tertiary sector activity?
A. Banking and financial services
B. Mining and quarrying
C. Steel and cement manufacturing
D. Agriculture
The tertiary sector provides services rather than goods, including banking, insurance, retail trade, transport, and IT services.
4. Why is the tertiary sector considered crucial for the Indian economy?
A. It provides raw materials for manufacturing
B. It involves large-scale agriculture
C. It is the oldest sector of the economy
D. It supports other sectors by providing essential services
The tertiary sector supports both primary and secondary sectors by providing services like banking, transport, communication, and trade.
5. If a farmer grows wheat, a factory makes flour, and a retailer sells bread, which sequence of sectors does this represent?
A. Secondary → Primary → Tertiary
B. Primary → Secondary → Tertiary
C. Tertiary → Secondary → Primary
D. Primary → Tertiary → Secondary
Agriculture (wheat) is part of the primary sector, processing in a factory is secondary, and selling by retailer is tertiary sector activity.
6. Which of the following activities is typically part of the quaternary sector?
A. Research and development, IT services, and knowledge-based activities
B. Agriculture and forestry
C. Manufacturing of consumer goods
D. Retail trade and hospitality
The quaternary sector focuses on knowledge-based services, including research, information technology, consultancy, and education.
7. Which activity best represents the quinary sector?
A. Mining and extraction of natural resources
B. Manufacturing of automobiles
C. High-level decision making, government policies, and top management
D. Retail trade and tourism services
The quinary sector includes activities that involve top-level decision-making and high-level management in organizations and government.
8. The Green Revolution in India mainly impacted which sector?
A. Secondary sector
B. Primary sector (agriculture)
C. Tertiary sector
D. Quaternary sector
The Green Revolution involved the use of high-yielding varieties, irrigation, fertilizers, and modern agricultural practices in the primary sector.
9. The White Revolution in India is associated with:
A. Coal mining
B. IT sector growth
C. Textile manufacturing
D. Increase in milk production and dairy development
The White Revolution (Operation Flood) aimed to increase milk production in India, benefiting rural farmers and the dairy sector.
10. Which revolution is associated with increased food grain production through modern techniques?
A. Green Revolution
B. White Revolution
C. Yellow Revolution
D. Blue Revolution
The Green Revolution used modern agricultural technology to increase food grain production and reduce dependence on imports.
11. The Blue Revolution in India refers to:
A. Growth in IT and software exports
B. Development of fisheries and aquaculture
C. Expansion of textile industry
D. Dairy development
The Blue Revolution focuses on increasing fish production through modern aquaculture and fisheries development.
12. Which sector is most influenced by technological innovations and knowledge-based services?
A. Primary sector
B. Secondary sector
C. Quaternary sector
D. Tertiary sector
The quaternary sector depends heavily on knowledge, research, and technology for economic activities.
13. Which of the following correctly ranks the sectors based on the stage of economic development?
A. Secondary → Primary → Tertiary
B. Primary → Secondary → Tertiary
C. Tertiary → Secondary → Primary
D. Tertiary → Primary → Secondary
Economies typically progress from primary (agriculture) to secondary (industry) and then tertiary (services) as they develop.
14. Which sector employs the largest workforce in India as of recent data?
A. Secondary sector
B. Tertiary sector
C. Primary sector
D. Quaternary sector
Despite a growing services sector, the primary sector (agriculture, forestry, fishing) still employs the largest portion of India's workforce.
15. Which sector contributes the most to India's GDP in the present scenario?
A. Primary sector
B. Secondary sector
C. Quinary sector
D. Tertiary sector
The tertiary (services) sector contributes the largest share to India's GDP, driven by IT, banking, trade, and professional services.
16. Which of the following correctly matches the sector with its primary function?
A. Primary – Extraction of raw materials, Secondary – Manufacturing, Tertiary – Services
B. Primary – Banking, Secondary – Agriculture, Tertiary – Industry
C. Primary – Services, Secondary – IT, Tertiary – Mining
D. Primary – Manufacturing, Secondary – Services, Tertiary – Agriculture
The primary sector extracts raw materials, the secondary sector processes them into goods, and the tertiary sector provides services.
17. What is the main difference between the secondary and tertiary sectors?
A. Secondary sector provides services, tertiary produces goods
B. Secondary sector is agriculture-based, tertiary is industrial
C. Secondary sector involves manufacturing, tertiary involves services
D. Secondary sector employs less workforce than primary
The secondary sector focuses on converting raw materials into finished goods, whereas the tertiary sector focuses on providing services.
18. Which sector’s GDP contribution is increasing rapidly in India?
A. Primary sector
B. Tertiary sector
C. Secondary sector
D. Quinary sector
The tertiary sector is expanding fast due to IT, banking, trade, and professional services, contributing more to GDP.
19. Which of the following shows the correct employment vs GDP contribution pattern in India?
A. Primary – Low employment, high GDP; Secondary – High employment, low GDP
B. Tertiary – High employment, low GDP; Primary – Low employment, high GDP
C. Secondary – High employment, high GDP; Tertiary – Low employment, low GDP
D. Primary – High employment, low GDP; Tertiary – Low employment, high GDP
Most of India’s workforce is in agriculture (primary sector) but contributes less to GDP, whereas services (tertiary) contribute more GDP with less employment.
20. Which statement best describes the difference between quaternary and quinary sectors?
A. Quaternary involves government decision-making, quinary involves IT and research
B. Quaternary involves knowledge-based services, quinary involves high-level decision-making
C. Quaternary is agriculture-based, quinary is manufacturing
D. Quaternary is services, quinary is primary sector
The quaternary sector focuses on knowledge and information services, while the quinary sector includes top-level decision-making and policy formulation.
21. Which sector is primarily responsible for the production of food and raw materials in India?
A. Secondary sector
B. Tertiary sector
C. Primary sector (Agriculture)
D. Quaternary sector
Agriculture and other natural resource-based activities form the primary sector, providing food and raw materials.
22. Which of the following is an example of the secondary sector in India?
A. Steel manufacturing and textile production
B. Banking and insurance
C. Agriculture and fishing
D. Research and development
The secondary sector converts raw materials from agriculture and mining into finished goods through manufacturing.
23. The services sector in India includes all of the following EXCEPT:
A. Retail trade and hospitality
B. Coal mining and quarrying
C. Banking and insurance
D. Transport and logistics
The services (tertiary) sector provides services, while mining activities belong to the primary sector.
24. Which sector has shown a faster employment growth rate in India in recent years?
A. Primary sector
B. Quaternary sector
C. Tertiary sector
D. Secondary sector
The secondary sector (manufacturing and industry) has shown faster employment growth due to industrial expansion and “Make in India” initiatives.
25. Which sector contributes the largest share to India’s GDP but employs a smaller proportion of the workforce?
A. Primary sector
B. Tertiary sector
C. Secondary sector
D. Quinary sector
The services (tertiary) sector contributes the largest portion of GDP but employs fewer people compared to agriculture (primary sector).
26. Which of the following statements is correct about employment in the secondary sector?
A. Secondary sector employment is mostly in agriculture
B. Employment growth in the secondary sector is declining
C. Employment includes manufacturing, construction, and industrial work
D. Secondary sector employs the largest workforce in India
The secondary sector includes manufacturing, construction, and industrial activities and has seen steady employment growth.
27. Which sector is known as the backbone of economic development due to its industrial and employment contribution?
A. Secondary sector (Industry)
B. Primary sector (Agriculture)
C. Tertiary sector (Services)
D. Quinary sector
The secondary sector drives industrial growth, provides employment, and supports overall economic development.
28. In India, which sector’s employment growth is slower compared to its GDP contribution?
A. Secondary sector
B. Primary sector
C. Quaternary sector
D. Tertiary sector
The tertiary sector contributes a large portion to GDP but employment growth is comparatively slower than in primary and secondary sectors.
29. Which sector is most affected by initiatives like “Make in India”?
A. Primary sector
B. Secondary sector
C. Tertiary sector
D. Quinary sector
“Make in India” focuses on boosting manufacturing and industrial activities in the secondary sector to generate employment and GDP.
30. Which combination correctly represents sectors along with examples?
A. Primary – IT; Secondary – Farming; Tertiary – Mining
B. Primary – Steel; Secondary – Banking; Tertiary – Agriculture
C. Primary – Agriculture; Secondary – Manufacturing; Tertiary – Services
D. Primary – Transport; Secondary – IT; Tertiary – Construction
Primary sector includes agriculture, secondary sector includes manufacturing, and tertiary sector includes services like banking, trade, and transport.
31. Which of the following is considered a sunrise sector in India?
A. Information Technology (IT) and renewable energy
B. Coal mining and textiles
C. Agriculture and forestry
D. Traditional handicrafts
Sunrise sectors are emerging sectors with high growth potential such as IT, renewable energy, biotechnology, and e-commerce.
32. Which of the following is a key characteristic of a sunrise sector?
A. Low growth potential
B. High dependence on agriculture
C. High growth potential and future contribution to GDP
D. Dominated by manual labor only
Sunrise sectors are emerging industries with high growth potential and significant future contribution to the economy.
33. Which of the following best defines the organised sector in India?
A. Employment without contracts or benefits
B. Employment with formal contracts, social security, and regulated by government laws
C. Informal self-employed workers
D. Family-run businesses with no registration
The organised sector includes jobs with formal employment contracts, social security benefits, and regulated working conditions.
34. Which sector employs the majority of India’s workforce?
A. Quaternary sector
B. Tertiary sector
C. Secondary sector
D. Unorganised sector
The unorganised sector employs a large portion of India’s workforce, including small-scale, informal, and self-employed workers.
35. Which of the following is an example of the unorganised sector in India?
A. Public sector banks
B. IT companies
C. Street vendors, small shops, and daily wage laborers
D. Government offices
The unorganised sector consists of small-scale, informal enterprises and self-employed workers with no formal employment benefits.
36. Which of the following distinguishes the organised sector from the unorganised sector?
A. Organised sector has informal employment, unorganised has contracts
B. Organised sector has regulated employment and benefits, unorganised lacks formal structure
C. Organised sector only includes agriculture
D. Unorganised sector is part of IT and research services
The organised sector provides regulated employment, formal contracts, and social security, unlike the unorganised sector.
37. Which sector is expected to grow fastest among sunrise sectors in India?
A. Traditional textiles
B. Coal and mining
C. Renewable energy, IT, biotechnology
D. Handicrafts
Sunrise sectors like IT, biotechnology, and renewable energy are emerging with high growth potential and future contributions to GDP.
38. Which of the following is NOT a characteristic of the unorganised sector?
A. Informal employment
B. Low entry barriers
C. Lack of social security benefits
D. Formal contracts and regulated wages
The unorganised sector lacks formal contracts, social security, and wage regulations, unlike the organised sector.
39. Which of the following is an example of employment in the organised sector?
A. Daily wage laborer in a small shop
B. Employee of a public sector bank
C. Street vendor
D. Home-based handicraft worker
Organised sector employees have formal contracts, regulated wages, and benefits such as employees in public or private companies.
40. Sunrise sectors are important because they:
A. Provide only traditional employment
B. Depend entirely on agriculture
C. Have high growth potential and attract investment
D. Employ only manual labor
Sunrise sectors drive future economic growth by attracting investment, technology, and skilled workforce.
