Class 10 Sectors of the Indian Economy Mock Test (CBSE)

Topics in Sectors of the Indian Economy

• Primary, secondary and tertiary sectors
• Comparing the three sectors
• Sectors in India: share in GDP and employment
• Organised and unorganised sectors
• Public and private sectors

Sectors of the Indian Economy practice questions with answers

1. Q1Multiple choice·1 mark
   The primary objective of public sector enterprises is:

   1. (a)earning maximum financial profits
   2. (b)public welfare and social security
   3. (c)collecting taxes from private firms
   4. (d)attracting foreign capital and technology
   Show answer and step marks

   1. Correct option: (b) public welfare and social security+1

   Answer: (b)
2. Q2Multiple choice·1 mark
   What term is used to describe a situation where more people are engaged in an agricultural activity than is actually required, such that even if some workers are removed, total production does not decrease?

   1. (a)Structural unemployment
   2. (b)Disguised unemployment
   3. (c)Cyclical unemployment
   4. (d)Educated unemployment
   Show answer and step marks

   1. Correct option: (b) Disguised unemployment+1

   Answer: (b)
3. Q3Multiple choice·1 mark
   Which of the following activities belongs to the primary sector?

   1. (a)Weaving of cloth
   2. (b)Banking services
   3. (c)Fishing
   4. (d)Making sugar from sugarcane
   Show answer and step marks

   1. Correct option: (c)+1

   Answer: (c)
4. Q4Assertion and reason·1 mark
   Assertion (A): The tertiary sector has grown in importance in India, emerging as the largest producing sector. Reason (R): The service sector generates multiple basic services such as hospitals, educational institutions, and post offices, which are now essential for development.

   1. (a)Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).
   2. (b)Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation of Assertion (A).
   3. (c)Assertion (A) is true but Reason (R) is false.
   4. (d)Assertion (A) is false but Reason (R) is true.
   Show answer and step marks

   1. Correct option: (a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A).+1

   Answer: (a)
5. Q5Short answer·2 marks
   Differentiate between the public sector and the private sector based on ownership and primary objective.
   Show answer and step marks

   1. Ownership: In the public sector, assets and services are owned and managed by the government, whereas in the private sector, ownership rests with private individuals or corporate entities.+1
   2. Primary Objective: The main objective of the public sector is public welfare, whereas the primary motive of the private sector is to earn profits.+1

   Answer: Ownership: in the public sector the government owns most of the assets and provides the services; in the private sector ownership of assets and delivery of services are in the hands of private individuals or companies. Objective: the public sector aims at public welfare, not just profit; the private sector's main motive is to earn profits.
6. Q6Short answer·2 marks
   Classify each of the following activities as belonging to the primary, secondary or tertiary sector. (a) A factory in which sugarcane is processed to produce sugar. [1] (b) A company that runs passenger bus services between cities. [1]
   Show answer and step marks

   1. (a) The factory processes a raw material (sugarcane) into a finished product (sugar), so it belongs to the secondary sector.+1
   2. (b) The company provides a service (transport) and does not produce a physical good, so it belongs to the tertiary sector.+1

   Answer: (a) Secondary sector; (b) Tertiary sector

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