public sector contributes to the economic development of indian .
Answers
Answer:
The public sector contributes to the economic development of a nation in the way explained below:
(i) Public sector raises money through taxes and other ways to meet expenses on the services like construction of roads, bridges, railways etc. for all people of India.
(ii) Goverment runs railways, shipping, aeroplanes, metro and local trains. The government undertakes heavy spending and ensure that such facilities are available for everyone.
(iii)The Government in India buys wheat and rice from farmers at a ‘fair price’. This it stores in its godowns and sells at a lower price to consumers through ration shops. The government has to bear some of the cost. In this way, the government supports both farmers and consumers
Answer:
Public sector is an important sector for the development of economy.
(i) There are several things needed by the society as a whole but which the private sector will not provide at a reasonable cost. As huge sum of amount is needed which private sector can not afford, so public sector is needed there. For example, building bridges, railway etc.
(ii) There are several basic activities which government has to support, for example, selling electricity at lower cost, providing drinking water at affordable.
(iii) There are some activities which government has to perform like providing health and education facilities. So public sector is needed rate etc.