Quick Answer: Which Sector Is Called The Backbone Of Indian Economy?

Why is agriculture sector called the backbone of Indian economy?

Agriculture can be called the backbone of India’s economic system because two-thirds of the Indian population is engaged in the cultivation of land.

Agriculture not only helps to feed the large population, but it also supports the principal manufacturing industries with raw materials..

What are agglomeration benefits?

The regional benefits of agglomeration are plentiful and often align with firm-level benefits; those discussed here include labor pooling, higher wages and social and civic opportunities. Labor pooling. Both firms and regions benefit from labor market pooling.

Which is fastest growing sector in India?

What Are Some of the Fastest Growing Industries in India?Advanced Engineering & Manufacturing.Digital Innovation Sector.Online Gambling Industry.The Energy Industry.Dec 14, 2020

Which industry will grow in 2020 in India?

Keeping that in mind, we bring you the top 5 industries that are bound to see growth in the coming years.Ed-Tech. The ed-tech industry refers to the education industry advanced with technology. … Digital Marketing. … FinTech. … Healthcare. … Gaming.Apr 27, 2020

What all comes under service sector?

Activities in the service sector include retail, banks, hotels, real estate, education, health, social work, computer services, recreation, media, communications, electricity, gas and water supply.

Which sector is best for Indian economy?

India’s journey on the path of economic reforms has transformed it to one of the world’s fastest growing economies….5 Sectors on a Hiring SpreeINFORMATION TECHNOLOGY. The IT sector has been India’s sunshine sector for quite some time now. … TELECOM. … HEALTHCARE. … INFRASTRUCTURE. … RETAIL.

Which sector is the backbone of Indian economy service sector financial sector tourism sector agriculture sector?

Correct Option: D. Agriculture is the pillar of the Indian economy because of its high share in employment and livelihood creation.

Why is industry important for a country?

Industrial Sector is of great importance for economic development of country. … Industrial development plays a pivotal role in economic uplift. It raises the productive capacity of the people and creates ever-increasing employment opportunities.

What are the two types of agglomeration economies?

Agglomeration Theory and Process There are actually two major categories of agglomeration: Urbanization economies and Localization economies. The term urbanization economies refers to benefits that firms in a number of different industries receive from population and infrastructure clusters.

What is meant by agglomeration economy?

Agglomeration economies or external economies of scale refer to the benefits from concentrating output and housing in particular areas. If an area specialises in the production of a certain type of good, all firms can benefit from various factors such as: Good supply networks.

What are the 5 factors of industrialization?

They are land, labor, capital, technology and connections. Without a generous supply of these basic elements and the ability to organize them, a people cannot develop into an industrial society.

Which sector has future India?

India’s manufacturing sector is also developing fast, with world-class companies such as Bharat Forge, Tata Motors, and Mahindra. India’s healthcare industry will grow to over £40 billion in the next three years. India aims to train 500 million people, which opens up a market for British skills providers.

Are MSMEs backbone of Indian economy?

The minister also invited investors abroad to invest in Indian MSMEs. Terming the MSME sector as the backbone of the Indian economy, Gadkari said the sector contributes around 30 per cent of the country’s GDP and provides employment to over 10 crore people.

Which is the largest sector in India?

services sectorThe services sector is the largest sector of India. Gross Value Added (GVA) at current prices for the services sector is estimated at 100.46 lakh crore INR in 2019-20. The services sector accounts for 54.77% of total India’s GVA of 183.43 lakh crore Indian rupees.

Which sector is called the backbone of economy?

manufacturing sectorThe manufacturing sector is considered as the backbone of the economic development of the country because of the following reasons: (i) Manufacturing sector helps in modernising agriculture which increases agricultural productivity.

What is agglomeration mean?

1 : the action or process of collecting in a mass the agglomeration of matter into stars and galaxies. 2 : a heap or cluster of usually disparate (see disparate sense 1) elements … an agglomeration of 100-year-old cottages with gingerbread scroll-saw ornamentation.—

What is the important of industry?

The rapid development of capital goods industries promote the growth of agriculture, transport and communication. It also enables the country to produce a variety of consumer goods in large quantities and at low costs. It also eliminates our dependence on other countries for the supply of essential goods.

How does industry help the economy?

Increased Employment Opportunities Industrialization provides increased employment opportunities in small- and large-scale industries. In an industrial economy, industry absorbs underemployed and unemployed workers from the agricultural sector, thereby increasing the income of the community.