On the basis of employment conditions, the economy is divided into
- A.organized and unorganized sectors
- B.private and public sectors
- C.seasonal and disguised sectors
- D.primary, secondary and tertiary sectors
Correct answer
Explanation
The correct answer is A, organized and unorganized sectors. The terms of employment, such as regular jobs, fixed hours and legal protection, decide whether work belongs to the organized or the unorganized sector.
The organized sector covers enterprises registered with the government that follow rules such as the Factories Act, minimum wages and the payment of gratuity. Workers there have assured work, fixed hours, overtime pay, paid leave, provident fund and medical benefits. The unorganized sector is made up of small, scattered units largely outside government control, where jobs are low-paid, irregular and without paid leave or job security, such as casual labour, small shops and most farm work. Most Indian workers are in the unorganized sector.
B is wrong: private and public sectors are divided by ownership, not by employment conditions.
C is wrong: seasonal and disguised unemployment are types of unemployment, not sectors of the economy.
D is wrong: primary, secondary and tertiary sectors are divided by the nature of the activity.
Exam tip: by activity = primary, secondary, tertiary; by ownership = public, private; by employment conditions = organized, unorganized.
Practice Questions
View allWhich one of the following equals Personal Disposable Income ?
- A.Personal Income - Direct taxes paid by households and miscellaneous fees, fines, etc.
- B.Private Income - Saving of Private Corporate Sectors - Corporation Tax
- C.Private Income - Taxes
- D.Total expenditure of Households - Income Tax - Gifts received
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In national income accounting the steps run from private income to personal income to personal disposable income. Private income is the factor income of the private sector plus transfers.
Read the full explanation →With reference to India, consider the following pairs:
Organization : Union Ministry
I. The National Automotive Board : Ministry of Commerce and Industry
II. The Coir Board : Ministry of Heavy Industries
III. The National Centre for Trade Information : Ministry of Micro, Small and Medium Enterprises
How many of the above pairs are correctly matched?
- A.Only one
- B.Only two
- C.All the three
- D.None
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Each organisation is paired with the wrong ministry. The National Automotive Board works under the Ministry of Heavy Industries; it supports the automobile sector with testing and certification work and helps run schemes for the industry.
Read the full explanation →If the RBI decides to adopt an expansionist monetary policy, which of the following would it not do?
1. Cut and optimize the Statutory Liquidity Ratio
2. Increase the Marginal Standing Facility Rate
3. Cut the Bank Rate and Repo Rate
Select the correct answer using the code given below:
- A.1 and 2 only
- B.2 only
- C.1 and 3 only
- D.1, 2 and 3
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An expansionist policy aims to make money cheaper and more plentiful, so the RBI would not raise the Marginal Standing Facility rate, which makes borrowing dearer.
Read the full explanation →Which of the following is/are the aim/aims of "Digital India" Plan of the Government of India?
1. Formation of India's own Internet companies like China did.
2. Establish a policy framework to encourage overseas multinational corporations that collect Big Data to build their large data centres within our national geographical boundaries.
3. Connect many of our villages to the Internet and bring Wi-Fi to many of our schools, public places and major tourist centres.
Select the correct answer using the code given below:
- A.1 and 2 only
- B.3 only
- C.2 and 3 only
- D.1, 2 and 3
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Connecting villages to the Internet and offering Wi-Fi in schools and public places is part of Digital India; the other two are not its stated aims.
Read the full explanation →With reference to Foreign Direct Investment in India, which one of the following is considered its major characteristic?
- A.It is the investment through capital instruments essentially in a listed company.
- B.It is a largely non-debt creating capital flow.
- C.It is the investment which involves debt-servicing.
- D.It is the investment made by foreign institutional investors in the Government securities.
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FDI comes in as equity ownership, so India does not have to repay it with interest. Under Indian rules, FDI is investment by a person resident outside India in an unlisted company, or in ten per cent or more of the paid-up equity of a listed company.
Read the full explanation →