Question

What is the difference between economic activities and non-economic activities?

Answer 1

• Economic activities are bifurcated into two parts which are known as non-market activities, and market activities.
• When an activity is done for profit or payment i.e. when remuneration is involved for an activity, then this activity is a market activity. It includes services, including government services and production of goods.
• When production is carried out for self-consumption, then those activities are known as non-market activities.
• Non economic activities involve activities which are carried out without any sort of economic benefits or remuneration.
• Primary sector includes mining and quarrying, poultry farming, fishing, animal husbandry, agriculture, forestry.
• Secondary sector includes manufacturing activities.
• Tertiary sector activities include insurance, services, tourism, health, education, banking, communication, transport, trade.
• Value of national income gets added from these activities.