How is tertiary sector important for Indian economy?

Question

Answer

Tertiary sector is becoming very important in an Indian economy. The reasons are as follows:
(i) Basic services like education, healthcare, banking, postal service, police stations and courts are required in a developing country like India, which are mostly taken care of by the government.
(ii) Development of agriculture and industry has led to the requirement of services like transport, trade, storage etc.
(iii) When income levels rise, people start demanding more services like eating out, tourism, shopping, private hospitals, private schools, professional training etc

Answer

I- the tertiary sector provides the basic services like public transportation, medical car, electricity ,banking, post office etc under the control of the govt.

ii- the tertiary sector creates an huge area for employment even for uneducated and unskilled workers.

iii- the tertiary sector distributes the consumer goods to different suppliers

iv- the tertiary sector accounts for most of the national income and per capita income.

Answer

Importance of Tertiary Sector in Indian Economy

The tertiary sector, also known as the service sector, is the backbone of the Indian economy, contributing significantly to the country's GDP, employment, and overall economic growth. Here are some of the reasons why the tertiary sector is crucial for India:

Contribution to GDP

The tertiary sector accounts for around 55% of India's GDP, making it the largest contributor to the country's economy.

It includes various industries such as banking, insurance, tourism, healthcare, transportation, communication, and many more, which contribute significantly to the economy.

India is known for its IT and BPO services, which are a part of the tertiary sector and have played a crucial role in the country's economic growth.

Employment Generation

The service sector employs the largest number of people in India, providing jobs to millions of individuals every year.

With the growth of the sector, more and more job opportunities are created, especially in urban areas.

It is also a significant sector for women's employment, providing them with flexible work hours and better work-life balance.

Foreign Exchange Earnings

The tertiary sector includes industries such as tourism and hospitality, which generate significant foreign exchange earnings for the country.

India has become a popular tourist destination, and the growth of the sector has led to an increase in foreign exchange earnings, which is crucial for the country's balance of payments.

Improved Quality of Life

The service sector provides various services that improve the quality of life of individuals, such as healthcare, education, and entertainment.

It also plays a crucial role in the development of infrastructure and communication, which are essential for the country's overall growth.

The growth of the sector has led to an increase in disposable income, which has further contributed to the improved quality of life.

Conclusion

The tertiary sector has played a crucial role in India's economic growth and development. Its contribution to the GDP, employment generation, foreign exchange earnings, and improved quality of life makes it an essential sector for the country's overall growth. The government should continue to focus on promoting the sector and creating an enabling environment for its growth.

Answer

The tertiary sector accounts for most of the national and per capita income of India. ... The tertiary sector created huge employment even for the uneducated and unskilled workers. 4. The tertiary sector is responsible to distribute its services and goods to different consumers

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