Question

What factors are included as 'Arteries' to an economy?

• A. Small scale and Cottage Industries
• B. Transportation and Communication
• C. Capital and Labour Supply
• D. Government Policy and Credit Supply

Answer 1

Answer: (B)

Transportation and Communication

Just as without arteries, blood cannot be circulated throughout the body. Similarly, without developed transport system, goods cannot be circulated throughout the world to ultimate consumers. A well knit transport and communication system brings people together of different regions within the country and the world closer to each other. Efficient transport and communication system is a prerequisite of local, national and global trade of today. It has also proved to convert the world into a large, closely knit global village.