What does tertiary sector involve? Explain reasons for its rapid growth over years
Answers
Explanation:
Tertiary sector refers to those income generating activities in an economy that help in the development of the primary and secondary sectors. Tertiary sector is also called service sector because of the support it provides to other sectors of the economy.
Services in the tertiary sector include education, health services, transportation services, banking services and information technology services. Tertiary sector has witnessed immense growth in the last few decades in India.
The following points explain the rising importance of the tertiary sector :
Any country requires several services such as those of post and telegraph offices, police stations, hospitals, banks, insurance agencies, transport, defence, courts etc. Hence, the government has to take the responsibility of providing these services to its citizens.
Various services developed with the development of agriculture and industries. Some of them include transport, storage and trade. Demands for such services will only increase with the development of the primary and secondary sectors.
With a rise in people's incomes, demands for services such as tourism, retail, schools, private hospitals etc. also increases. However, these demands are higher in big cities.
In the past few years, services based on communication technology and information have also increased. There has been a rapid rise in the production of these services.
Answer:
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Explanation:
Reasons for growth of the tertiary sector
- Improved labour productivity. A key factor behind tertiarisation is improved labour productivity.
- Globalisation. ...
- Income elasticity of demand. ...
- Rising real incomes/ wages.
- More leisure time.
- Technology.