Class 10 Economics Chapter 2
Sectors of The Indian Economy
Important Questions

Explanation:
It has been observed from the histories of many developed countries, that at their initial stages of development, the primary sector was the most important sector of economic activity in terms of production as well as employment. As the methods of farming improved and the agriculture sector began to prosper, it started producing much more food than before which is called surplus. This helped many people to think of and take up activities other than agriculture. Hence, an increasing number of craft-persons and traders began to emerge. Trading activities increased by leaps and bounds. These other activities were manufacturing and service. So for a long time, due to the prominence of the primary sector in production, it used to be the main sector of employment. But as the activities in the secondary sector started expanding, new production units were set up in this sector. Hence, the people who had earlier worked in the primary sector now started to work in factories in large numbers. Secondary sector gradually started becoming the most important sector in terms of total production and employment. Hence, over time, a shift had taken place, i.e., the importance of the sectors had changed their places. Thereafter, a further shift from secondary to tertiary sector began to take place in developed countries. The service sector includes the services. Most of the people are now employed in the service sector. Though this is the general pattern observed in developed countries, yet developing countries like India have also followed the similar pattern.