CA Foundation · Business Economics · Indian Economy
Which sector of the Indian economy employs the largest share of the country's workforce, even though its share in Gross Value Added is comparatively small?
Agriculture and allied activities employ the largest share of India's workforce, while contributing only a small share of Gross Value Added. This gap shows low labour productivity and underemployment in farming, which is why shifting workers to higher productivity sectors is a key policy concern.
- AAgriculture and allied activitiesCorrect
- BManufacturing
- CConstruction
- DFinancial services
Explanation
Agriculture and allied activities absorb a large share of India's workforce, roughly 40 to 45 percent, but contribute only about 15 to 18 percent of GVA. This gap reflects low productivity and disguised unemployment. Manufacturing and services employ far fewer people relative to their larger or comparable output shares.
Did you get it right without looking?
One question tells you little. A timed set on Indian Economy shows your real accuracy, how long you take and where you lose marks.
More Indian Economy questions
- The government procures 40 lakh tonnes of wheat at an MSP of ₹2,000 per quintal. Given that 1 tonne equals 10 quintals, what is the total pr…
- The Production Linked Incentive (PLI) scheme introduced by the Government of India for selected manufacturing sectors primarily provides:
- Which statement best describes the pattern of structural change in India's economy since independence, compared with the typical development…
- A graduate in a village works on the family farm throughout the year, but if she withdrew, the farm's total output would remain unchanged be…
- The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) primarily aims to provide:
- Which of the following best explains why public investment in infrastructure such as roads and power is often described as having a 'crowdin…