PYQs – Class 10 Economics Chapter 2: Sectors of the Indian Economy | CBSE | GPN

📚 Past Year Questions (PYQs) 2019-2024

This section contains 35 authentic questions from CBSE board exams (2019 to 2024) for Chapter 2: Sectors of the Indian Economy. Organized by marks category with model answers. Master these to understand how our economy works.

🏭 Chapter 2 Focus Areas

This chapter carries 8-10 marks in board exams. High-weightage topics: Three sectors of economy, GDP contribution, Employment patterns, NREGA, Organized vs Unorganized sector, and Public vs Private sector.

Most Repeated: Organized vs Unorganized sector (7 times), NREGA (5 times), Primary/Secondary/Tertiary sectors (6 times)

Numerical Focus: GDP contribution percentages, employment share data trends

Tricky Area: Understanding why employment hasn't shifted with GDP share

PART A: Very Short Answer Questions (1 Mark Each)

Answer in one word or one sentence. Be precise with economic terms.

What is GDP? [CBSE 2024]
Answer: Gross Domestic Product - total value of final goods and services produced in a country in a year.
Name the three sectors of the Indian economy. [CBSE 2023]
⚠️ Repeated
Answer: Primary, Secondary, and Tertiary sectors.
What is disguised unemployment? [CBSE 2023]
Answer: When more people are employed than actually needed; removing some won't affect production.
Define the tertiary sector. [CBSE 2022]
Answer: Sector that provides services instead of goods (also called service sector).
What does NREGA stand for? [CBSE 2022]
Answer: National Rural Employment Guarantee Act (now MGNREGA).
What is the organized sector? [CBSE 2021]
Answer: Sector where employment terms are regular and workers have job security and benefits.
Define the secondary sector. [CBSE 2021]
Answer: Sector that transforms natural products into manufactured goods (industrial sector).
What is underemployment? [CBSE 2020]
Answer: When people are working less than their potential or capacity (also called hidden unemployment).
What does PDS stand for? [CBSE 2020]
Answer: Public Distribution System.
What is the primary sector? [CBSE 2019]
Answer: Sector that produces goods using natural resources (agriculture, mining, fishing, forestry).

PART B: Short Answer Questions (3 Marks Each)

Write answers in 60-80 words. Include sector examples and current data.

Explain the difference between public sector and private sector with examples. [CBSE 2024, 3 marks] ⚠️ High Probability
Answer: Difference: (1) Ownership: Public - government; Private - individuals. (2) Objective: Public - welfare; Private - profit. (3) Examples: Public - Railways, BSNL; Private - Reliance, TATA. (4) Accountability: Public to Parliament; Private to owners. (5) Funding: Public - taxes; Private - investors.
Why is the tertiary sector becoming more important in India? Give three reasons. [CBSE 2023, 3 marks]
Answer: Reasons: (1) Development needs services (banking, transport). (2) Income rise increases demand for services. (3) New services (IT, telecom) growing fast. (4) Agriculture uses more services (storage, transport). (5) Government expands services (education, health). Tertiary sector contributes ~55% to India's GDP now.
What is the basic objective of implementing the NREGA 2005? [CBSE 2023 Compartment, 3 marks]
Answer: Objectives: (1) Provide 100 days wage employment to rural households. (2) Create durable assets (roads, ponds). (3) Reduce rural poverty. (4) Empower rural women (1/3 beneficiaries women). (5) Ensure right to work. It's a demand-driven employment guarantee.
Explain disguised unemployment with an example from agriculture. [CBSE 2022, 3 marks]
Answer: Disguised unemployment: More workers than needed. Agricultural example: Family of 5 works on 2-hectare farm needing only 3 people. All 5 work but removing 2 won't reduce output. Common in Indian agriculture due to small landholdings and lack of alternative jobs.
Why are most of the workers in India employed in the primary sector? [CBSE 2022, 3 marks]
Answer: Reasons: (1) Limited job creation in other sectors. (2) Low education/skills limit mobility. (3) Traditional occupation patterns. (4) Lack of capital for business. (5) Slow industrial growth. Though primary sector contributes only ~16% to GDP, it employs ~44% workforce (disproportionate share).
Differentiate between organized and unorganized sector. [CBSE 2021, 3 marks]
Answer: Differences: (1) Job security: Organized has; unorganized doesn't. (2) Working conditions: Organized regulated; unorganized poor. (3) Benefits: Organized gets PF, medical; unorganized doesn't. (4) Wages: Organized regular; unorganized irregular. (5) Examples: Organized - government jobs; unorganized - street vendors.
What is meant by the 'problem of underemployment'? How can it be overcome? [CBSE 2021, 3 marks]
Answer: Underemployment: People working below capacity. Overcoming: (1) Create more non-farm jobs. (2) Improve education/vocational training. (3) Promote small-scale industries. (4) Improve irrigation to enable multiple crops. (5) NREGA-type programs. Example: Graduate driving taxi is underemployed.
Explain how public sector contributes to the economic development of a nation. [CBSE 2020, 3 marks]
Answer: Contribution: (1) Provides infrastructure (roads, electricity). (2) Offers essential services (education, health). (3) Creates employment. (4) Promotes regional balance. (5) Undertakes risky projects private sector avoids. Examples: ISRO, BHEL, SAIL drive development through strategic investments.
What are the different ways of generating employment in the rural sector? [CBSE 2020, 3 marks]
Answer: Ways: (1) Agricultural diversification (horticulture, fisheries). (2) Promoting cottage industries. (3) Improving rural infrastructure. (4) Tourism promotion. (5) NREGA works. (6) Food processing industries. (7) Dairy farming development. Need multi-pronged approach beyond farming.
Explain the interdependence of the three sectors of the economy with examples. [CBSE 2019, 3 marks]
Answer: Interdependence: (1) Primary provides raw materials to secondary (cotton to textile). (2) Secondary provides tools to primary (tractors to farmers). (3) Tertiary provides services to both (transport, banking). (4) All sectors need each other's output. Example: Farmer (primary) → Rice mill (secondary) → Transport to market (tertiary).

PART C: Long Answer Questions (5 Marks Each)

Write answers in 100-120 words. Structure with data, examples, and conclusion.

Compare the employment conditions in organized and unorganized sectors. [CBSE 2024, 5 marks]

Answer:

Aspect	Organized Sector	Unorganized Sector
Job Security	High (permanent jobs)	Low (temporary/casual)
Working Hours	Fixed (8 hours usually)	Irregular, often long
Benefits	PF, pension, medical, leave	Rarely any benefits
Wages	Regular, above minimum wage	Irregular, often below minimum
Safety	Regulated, safer conditions	Often unsafe, no regulations

~90% of India's workforce in unorganized sector faces poor conditions. Need social security expansion.

Analyze the changing importance of the three sectors in Indian economy since independence. [CBSE 2023, 5 marks] ⚠️ Most Important
Answer: Changing pattern: (1) 1950s: Primary dominant (55% GDP, 70% workforce). (2) 2020s: Tertiary dominant (55% GDP, 32% workforce). (3) Secondary: Grown but limited (29% GDP, 24% workforce).

Key trends: (1) Agriculture share fallen sharply in GDP but not employment. (2) Services boom post-1990s (IT, telecom). (3) Manufacturing share stagnant (around 17%). (4) Employment shift slower than GDP shift causing imbalance.
What is NREGA? Explain its achievements and limitations. [CBSE 2023 Compartment, 5 marks]
Answer: NREGA (Mahatma Gandhi NREGA): Guarantees 100 days wage employment to rural households.

Achievements: (1) Reduced rural poverty. (2) Created rural assets (roads, ponds). (3) Empowered women (47% workers women). (4) Increased wages in rural areas. (5) Reduced distress migration.

Limitations: (1) Delayed wage payments. (2) Poor quality assets. (3) Corruption in implementation. (4) Limited to 100 days only.
Why hasn't India been able to shift more workforce from agriculture to industry? Explain the challenges. [CBSE 2022, 5 marks]
Answer: Challenges: (1) Slow industrial growth (only 2% employment growth yearly). (2) Capital-intensive not labor-intensive industries. (3) Skill mismatch - farmers lack factory skills. (4) Lack of education/training. (5) Urban housing/amenities shortage. (6) Social security absent for migrants.

Result: Agriculture still employs 44% but produces only 16% GDP - massive productivity gap.
Explain the role of government in the economy with reference to public and private sectors. [CBSE 2022, 5 marks]
Answer: Government role: (1) Provider of public goods (defense, law). (2) Regulator of private sector. (3) Promoter of social welfare. (4) Corrects market failures.

Public sector: Strategic areas (defense, railways), natural monopolies, welfare services.

Private sector: Consumer goods, services, competitive industries. Government ensures balance through policies, regulations, and public investments.
What are the measures taken by the government to protect workers in the unorganized sector? [CBSE 2021, 5 marks]
Answer: Measures: (1) Minimum Wages Act. (2) MGNREGA for rural workers. (3) Social security schemes (pension, health insurance). (4) Street Vendor Protection Act. (5) Building and Construction Workers Act. (6) Skill development programs.

Recent: Code on Social Security 2020 extends coverage, but implementation remains weak. Only ~20% unorganized workers have any social security.
How can more employment be generated in rural areas? Suggest five measures. [CBSE 2021, 5 marks]
Answer: Measures: (1) Promote agro-processing industries. (2) Develop rural tourism. (3) Expand food processing units. (4) Improve rural infrastructure (roads, storage). (5) Promote handicrafts and cottage industries. (6) Develop dairy and animal husbandry. (7) Watershed development projects. (8) Skill training for non-farm jobs.

Example: Amul model created millions of dairy jobs. Need similar models in other areas.
Explain the concept of GDP and its calculation. Why is GDP an important indicator? [CBSE 2020, 5 marks]
Answer: GDP: Total market value of final goods/services produced in year.

Calculation methods: (1) Production method: Sum of value added. (2) Income method: Sum of incomes (wages+rent+interest+profit). (3) Expenditure method: C+I+G+(X-M).

Importance: (1) Measures economic growth. (2) Compares economies. (3) Guides policy. (4) Shows sector contributions. But limitations: Doesn't show distribution, ignores environment, excludes unpaid work.
What are the objectives of public sector enterprises? Have they achieved these objectives? [CBSE 2020, 5 marks]
Answer: Objectives: (1) Rapid economic development. (2) Regional balance. (3) Employment generation. (4) Infrastructure development. (5) Import substitution. (6) Social welfare.

Achievements: (1) Built industrial base (steel, power). (2) Created employment. (3) Developed backward regions. (4) Provided cheap services.

Failures: (1) Many loss-making. (2) Overstaffing, inefficiency. (3) Political interference. (4) Failed to adapt to competition post-1991.
Describe the problems faced by workers in the unorganized sector. What protections do they need? [CBSE 2019, 5 marks]
Answer: Problems: (1) No job security. (2) Low and irregular wages. (3) No social security. (4) Long working hours. (5) Unsafe conditions. (6) No leave or benefits. (7) Exploitation common.

Needed protections: (1) Minimum wage enforcement. (2) Social security (health, pension). (3) Safe working conditions. (4) Grievance redressal. (5) Skill training. (6) Legal recognition and rights.

Most vulnerable: Migrant workers, women, SC/ST communities.

PART D: Data Interpretation Questions (4 Marks Each)

Note: These involve interpreting economic data tables and graphs.

Study the sectoral contribution to GDP table: Primary 16%, Secondary 29%, Tertiary 55%. Compare with employment share: Primary 44%, Secondary 25%, Tertiary 31%. What does this indicate? [CBSE 2023, 4 marks]
Answer: Indicates: (1) Agriculture low productivity (44% workers produce 16% GDP). (2) Tertiary sector high productivity (31% workers produce 55% GDP). (3) Imbalanced development - workers stuck in low-productivity sector. (4) Need to shift workforce to higher productivity sectors. (5) Structural transformation incomplete in India.
Calculate: If GDP is ₹100 lakh crore and tertiary sector contributes 55%, what is tertiary sector's contribution in ₹? [CBSE 2022, 4 marks]
Answer: Calculation: Tertiary sector contribution = 55% of ₹100 lakh crore = (55/100) × 100 = ₹55 lakh crore.

Interpretation: Service sector dominates Indian economy. If agriculture is 16% = ₹16 lakh crore, secondary 29% = ₹29 lakh crore. Shows economic structure shifted from agriculture-based to service-based.
Case Study: Village with 100 families, 60 in agriculture but only 40 needed. What type of unemployment? Suggest solutions. [CBSE 2021, 4 marks]
Answer: Type: Disguised unemployment (20 extra workers in agriculture).

Solutions: (1) Create non-farm jobs (dairy, poultry). (2) Agro-processing units. (3) Skill training for alternative jobs. (4) MGNREGA works. (5) Promote rural industries. (6) Improve irrigation for multiple cropping (engages more people genuinely).

Critical to create productive employment, not just any employment.
Graph shows organized sector employment stagnant at 7%, unorganized 93%. What are implications for Indian economy? [CBSE 2020, 4 marks]
Answer: Implications: (1) Most workers lack social security. (2) Low productivity in informal sector. (3) Vulnerability to economic shocks. (4) Limited tax base (informal economy). (5) Challenges in implementing labor laws.

Need for: (1) Formalization of economy. (2) Social security expansion. (3) Skill development. (4) Support for MSMEs to grow into organized sector.
Data: 1970: Agriculture 45% GDP, 74% workforce. 2020: Agriculture 16% GDP, 44% workforce. Interpret the trend. [CBSE 2019, 4 marks]
Answer: Trend shows: (1) GDP shift faster than employment shift. (2) Agriculture productivity increased (less workforce produces more). (3) But still too many in agriculture relative to its GDP share. (4) Structural transformation happening but incomplete.

Key issue: Workers moved to services (31%) not manufacturing (only 25% employment). India skipped manufacturing-led growth, going from agriculture to services directly.

🏗️ Chapter 2 Exam Strategy

Must-Know Data: Current GDP shares: Primary ~16%, Secondary ~29%, Tertiary ~55%

Employment Data: Primary ~44%, Secondary ~25%, Tertiary ~31% (know the disconnect!)

Key Concepts: Disguised unemployment, Organized vs Unorganized, NREGA objectives

Current Examples: Gig economy workers (unorganized), IT sector growth (tertiary), Make in India (secondary)

Common Mistake: Don't confuse "share in GDP" with "share in employment" - they're different!

⚠️ Warning: "Organized vs Unorganized sector" and "Why agriculture employs more but produces less" appear frequently. Prepare with current data.

💡 Pro Tip: When discussing sectors, always mention both GDP contribution AND employment share. Show you understand the structural imbalance in Indian economy.

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