50 MCQs on Sectors of the Indian Economy

The Indian economy is divided into three main sectors: the Primary, Secondary, and Tertiary sectors. These sectors play a crucial role in the development of the country. Here are 50 Multiple Choice Questions (MCQs) related to the sectors of the Indian economy to help you prepare for competitive exams like RRB NTPC 2024.


1. Primary Sector

  1. The primary sector of the economy involves which of the following activities?
    • A) Manufacturing
    • B) Service
    • C) Agriculture and mining
    • D) Information technology
    • Answer: C) Agriculture and mining
  2. Which of the following is the main source of employment in India’s primary sector?
    • A) Industrial production
    • B) Banking services
    • C) Agriculture
    • D) Real estate
    • Answer: C) Agriculture
  3. Which of the following is the most significant crop grown in the Indian economy?
    • A) Rice
    • B) Cotton
    • C) Wheat
    • D) Tea
    • Answer: A) Rice
  4. The ‘National Agriculture Policy’ was launched in which year?
    • A) 1992
    • B) 2000
    • C) 2006
    • D) 2010
    • Answer: C) 2006
  5. The major contribution of the primary sector to India’s GDP is from:
    • A) Mining
    • B) Agriculture
    • C) Oil production
    • D) Forestry
    • Answer: B) Agriculture
  6. Which of the following is not part of the primary sector?
    • A) Fishing
    • B) Agriculture
    • C) Construction
    • D) Mining
    • Answer: C) Construction
  7. Which of the following is the largest agricultural producer in India?
    • A) Punjab
    • B) Uttar Pradesh
    • C) Maharashtra
    • D) West Bengal
    • Answer: B) Uttar Pradesh
  8. The Green Revolution in India is associated with the increase in the production of:
    • A) Food grains
    • B) Fruits and vegetables
    • C) Cash crops
    • D) Livestock
    • Answer: A) Food grains
  9. Which of the following is the primary activity in the primary sector?
    • A) Manufacturing of goods
    • B) Providing services
    • C) Mining, agriculture, and fishing
    • D) Construction of buildings
    • Answer: C) Mining, agriculture, and fishing
  10. Which of the following states is the leading producer of coffee in India?
    • A) Kerala
    • B) Assam
    • C) Karnataka
    • D) Tamil Nadu
    • Answer: C) Karnataka

2. Secondary Sector

  1. The secondary sector of the economy includes:
    • A) Agriculture
    • B) Manufacturing and construction
    • C) Transportation
    • D) Healthcare services
    • Answer: B) Manufacturing and construction
  2. Which of the following is a part of the secondary sector?
    • A) Mining
    • B) Education
    • C) Textiles manufacturing
    • D) Transport services
    • Answer: C) Textiles manufacturing
  3. The Industrial Policy of 1991 in India primarily aimed at:
    • A) Boosting agricultural production
    • B) Privatizing state-owned enterprises
    • C) Developing service sector industries
    • D) Promoting industrial growth and liberalizing trade
    • Answer: D) Promoting industrial growth and liberalizing trade
  4. Which of the following industries is an example of the secondary sector in India?
    • A) Textile industry
    • B) Fisheries
    • C) Mining
    • D) Banking
    • Answer: A) Textile industry
  5. Which of the following is a major contribution of the secondary sector to India’s economy?
    • A) Increase in GDP from agriculture
    • B) Increase in employment in manufacturing industries
    • C) Increase in food production
    • D) None of the above
    • Answer: B) Increase in employment in manufacturing industries
  6. The ‘Make in India’ initiative focuses primarily on:
    • A) Increasing agricultural output
    • B) Boosting the manufacturing sector
    • C) Promoting services sector
    • D) Supporting infrastructure development
    • Answer: B) Boosting the manufacturing sector
  7. Which of the following is the main industrial region in India?
    • A) Northern India
    • B) Southern India
    • C) Western India
    • D) Eastern India
    • Answer: C) Western India
  8. Which of the following is considered a key factor for the development of India’s secondary sector?
    • A) Abundant agricultural resources
    • B) Availability of skilled labor
    • C) Availability of technology and capital
    • D) All of the above
    • Answer: D) All of the above
  9. Which industry is known as the backbone of India’s industrial sector?
    • A) Steel industry
    • B) Information technology
    • C) Textile industry
    • D) Pharmaceutical industry
    • Answer: A) Steel industry
  10. Which of the following is India’s largest manufacturing industry by output?
    • A) Textile industry
    • B) Automobile industry
    • C) Steel industry
    • D) Cement industry
    • Answer: C) Steel industry

3. Tertiary Sector

  1. The tertiary sector of the economy refers to:
    • A) Primary production of goods
    • B) Construction and manufacturing
    • C) Providing services to businesses and consumers
    • D) None of the above
    • Answer: C) Providing services to businesses and consumers
  2. Which of the following is an example of the tertiary sector?
    • A) Transport and communication
    • B) Agriculture
    • C) Mining
    • D) Textile manufacturing
    • Answer: A) Transport and communication
  3. Which of the following is a service sector industry in India?
    • A) Banking
    • B) Fishing
    • C) Rice farming
    • D) Cement production
    • Answer: A) Banking
  4. The growth of the services sector in India is primarily due to the rise of:
    • A) IT and software services
    • B) Traditional farming practices
    • C) Mining industries
    • D) Textile manufacturing
    • Answer: A) IT and software services
  5. Which of the following services is most important in India’s tertiary sector?
    • A) Banking services
    • B) Automobile manufacturing
    • C) Coal mining
    • D) Agriculture-based services
    • Answer: A) Banking services
  6. Which of the following is an example of the IT and ITES sector in India?
    • A) Infosys
    • B) Coal India
    • C) Bharat Heavy Electricals Limited (BHEL)
    • D) Tata Steel
    • Answer: A) Infosys
  7. The service sector in India contributes the largest share to:
    • A) Employment
    • B) Agricultural output
    • C) Industrial production
    • D) GDP
    • Answer: D) GDP
  8. Which of the following is the largest contributor to India’s tertiary sector?
    • A) Transport services
    • B) Education services
    • C) Information technology (IT)
    • D) Healthcare services
    • Answer: C) Information technology (IT)
  9. Which of the following is a key component of India’s service sector?
    • A) Textile industry
    • B) Financial services
    • C) Agriculture
    • D) Coal production
    • Answer: B) Financial services
  10. Which of the following sectors contributes the most to India’s GDP?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) None of the above
    • Answer: C) Tertiary sector

4. General Questions on Sectors of the Economy

  1. The economy of India is categorized into how many main sectors?
    • A) Two
    • B) Three
    • C) Four
    • D) Five
    • Answer: B) Three
  2. Which of the following statements is true about the primary sector?
    • A) It contributes more to the GDP of developed countries.
    • B) It involves the extraction of natural resources.
    • C) It does not create employment opportunities.
    • D) It primarily involves service-oriented jobs.
    • Answer: B) It involves the extraction of natural resources.
  3. The ‘Smart Cities Mission’ in India is an initiative related to which sector?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) All of the above
    • Answer: C) Tertiary sector
  4. Which sector in India is the largest employer?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) All sectors are equally contributing
    • Answer: A) Primary sector
  5. Which of the following is the primary objective of the ‘Make in India’ initiative?
    • A) To boost India’s service sector
    • B) To promote industrial and manufacturing growth
    • C) To improve agricultural productivity
    • D) To attract foreign tourists
    • Answer: B) To promote industrial and manufacturing growth
  6. Which sector is responsible for the development of infrastructure in India?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) None of the above
    • Answer: B) Secondary sector
  7. The service sector is also known as:
    • A) Primary sector
    • B) Industrial sector
    • C) Tertiary sector
    • D) Agricultural sector
    • Answer: C) Tertiary sector
  8. Which of the following is a key driver of growth in India’s tertiary sector?
    • A) Agriculture
    • B) IT and Software services
    • C) Manufacturing
    • D) Mining
    • Answer: B) IT and Software services
  9. Which Indian state is known for its large industrial base in the secondary sector?
    • A) Punjab
    • B) Tamil Nadu
    • C) Uttar Pradesh
    • D) Bihar
    • Answer: B) Tamil Nadu
  10. India’s largest share of exports comes from which sector?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) None of the above
    • Answer: C) Tertiary sector

5. Miscellaneous Questions

  1. Which of the following is not a type of service in the tertiary sector?
    • A) Transport
    • B) Insurance
    • C) Agriculture
    • D) Education
    • Answer: C) Agriculture
  2. Which of the following is the most rapidly growing sector in India?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) None of the above
    • Answer: C) Tertiary sector
  3. Which of the following sectors contributed the least to India’s GDP?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) All sectors are equal
    • Answer: A) Primary sector
  1. India’s software industry is a key contributor to which sector?
    • A) Primary sector
    • B) Secondary sector
    • C) Tertiary sector
    • D) None of the above
    • Answer: C) Tertiary sector
  2. Which of the following is true about the secondary sector in India?
    • A) It is highly dependent on agricultural output.
    • B) It is dominated by heavy industries.
    • C) It has no role in industrialization.
    • D) It has minimal contribution to GDP.
    • Answer: B) It is dominated by heavy industries.
  3. The primary sector in India is dominated by:
    • A) Manufacturing industries
    • B) Agriculture and allied activities
    • C) Transport services
    • D) Information technology
    • Answer: B) Agriculture and allied activities
  4. Which of the following initiatives aims to boost rural employment in India’s primary sector?
    • A) Swachh Bharat Abhiyan
    • B) Pradhan Mantri Gramin Awaas Yojana
    • C) MGNREGA (Mahatma Gandhi National Rural Employment Guarantee Act)
    • D) Make in India
    • Answer: C) MGNREGA
  5. Which of the following is a part of the tertiary sector?
    • A) Rice cultivation
    • B) Car manufacturing
    • C) Healthcare services
    • D) Coal mining
    • Answer: C) Healthcare services
  6. Which Indian state has the largest share in industrial production?
    • A) Uttar Pradesh
    • B) Maharashtra
    • C) Gujarat
    • D) Tamil Nadu
    • Answer: B) Maharashtra
  7. Which of the following is a characteristic of the tertiary sector?
    • A) Deals with the extraction of natural resources
    • B) Provides services to individuals and businesses
    • C) Involves manufacturing of goods
    • D) All of the above
    • Answer: B) Provides services to individuals and businesses
  8. Which of the following is a part of the tertiary sector?
  • A) Rice cultivation
  • B) Car manufacturing
  • C) Healthcare services
  • D) Coal mining
  • Answer: C) Healthcare services

49. Which Indian state has the largest share in industrial production?

  • A) Uttar Pradesh
  • B) Maharashtra
  • C) Gujarat
  • D) Tamil Nadu
  • Answer: B) Maharashtra

50. Which of the following is a characteristic of the tertiary sector?

  • A) Deals with the extraction of natural resources
  • B) Provides services to individuals and businesses
  • C) Involves manufacturing of goods
  • D) All of the above
  • Answer: B) Provides services to individuals and businesses

Additional MCQs on Sectors of the Indian Economy

  1. The contribution of the secondary sector to India’s GDP is primarily from which industry?
  • A) Agriculture
  • B) Manufacturing industries
  • C) Tourism industry
  • D) Real estate
  • Answer: B) Manufacturing industries
  1. Which of the following is a significant feature of the primary sector in India?
  • A) Most of the work is mechanized.
  • B) It includes extraction of raw materials.
  • C) It includes the creation of services.
  • D) It provides services like banking.
  • Answer: B) It includes extraction of raw materials.
  1. Which of the following is an example of the tertiary sector of the Indian economy?
  • A) Agriculture
  • B) IT services
  • C) Fishing
  • D) Mining
  • Answer: B) IT services
  1. Which of the following is the primary contributor to the growth of India’s manufacturing sector?
  • A) Government subsidies
  • B) Globalization and trade agreements
  • C) Innovations in agriculture
  • D) All of the above
  • Answer: B) Globalization and trade agreements
  1. Which of the following is the largest employer in India’s secondary sector?
  • A) Textile industry
  • B) Steel manufacturing
  • C) Automobile industry
  • D) Chemical industry
  • Answer: A) Textile industry
  1. Which of the following is the major challenge faced by the tertiary sector in India?
  • A) Lack of skilled workforce
  • B) Inadequate infrastructure
  • C) Insufficient investment
  • D) Over-reliance on agriculture
  • Answer: B) Inadequate infrastructure
  1. The National Manufacturing Policy (NMP) 2011 aims to increase the contribution of manufacturing to India’s GDP to:
  • A) 15%
  • B) 25%
  • C) 20%
  • D) 30%
  • Answer: B) 25%
  1. Which of the following states is known for its significant contribution to India’s software industry?
  • A) Gujarat
  • B) Karnataka
  • C) Maharashtra
  • D) Kerala
  • Answer: B) Karnataka
  1. Which of the following is a major focus area under the ‘Digital India’ campaign?
  • A) To promote digital literacy in rural areas
  • B) To boost agricultural exports
  • C) To provide free healthcare
  • D) To improve the industrial sector
  • Answer: A) To promote digital literacy in rural areas
  1. The establishment of SEZs (Special Economic Zones) is aimed at boosting which sector of the economy?
  • A) Primary sector
  • B) Secondary sector
  • C) Tertiary sector
  • D) All of the above
  • Answer: B) Secondary sector
  1. Which of the following industries is associated with the secondary sector of the Indian economy?
  • A) Dairy farming
  • B) Cement production
  • C) Textiles
  • D) Healthcare services
  • Answer: B) Cement production
  1. Which sector has experienced the highest growth in employment in India over the past few decades?
  • A) Primary sector
  • B) Secondary sector
  • C) Tertiary sector
  • D) None of the above
  • Answer: C) Tertiary sector
  1. Which of the following is not included in the tertiary sector?
  • A) Insurance
  • B) Hotel management
  • C) Pharmaceutical production
  • D) Transport services
  • Answer: C) Pharmaceutical production
  1. The biggest challenge facing India’s primary sector is:
  • A) Increased labor costs
  • B) Inadequate infrastructure and technology
  • C) Lack of trained professionals
  • D) Over-reliance on the service sector
  • Answer: B) Inadequate infrastructure and technology
  1. Which of the following is considered a significant benefit of the tertiary sector?
  • A) It promotes the use of natural resources.
  • B) It increases employment opportunities.
  • C) It leads to higher production of agricultural goods.
  • D) It provides raw materials for industries.
  • Answer: B) It increases employment opportunities.

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