Question

“Tertiary sector is not playing any significant role in the development of Indian economy.” Do you agree? Give reasons in support of your answer.

Answer 1

No, one cannot agree that the tertiary sector is not playing any significant role in the development of Indian economy. In fact, the tertiary sector plays an important role in the development of not only India but also almost all the developed and developing countries.

• By replacing the primary sector, the tertiary sector has emerged as the largest sector in India in the year 2010-11 in terms of contribution to GDP.
• There are multiple reasons behind the rise of the services sector.
• The rise of information and communication technology aided in the rapid rise of the services sector.
• Due to rise in income levels there was a rise in demands for more services such as restaurants, tourism, shopping, private schools etc.
• There was greater demand for services such as trade, storage industry, transportation industry due to greater development of secondary and primary sectors.
• One cannot say that all segments of the services sector are improving. There are people in the services sector because they do not have alternative sources of income.
• The services sector has definitely uplifted the lives of highly educated and skilled workers employed in this sector, due to the Information Technology (IT) revolution.