Question

Why are service sector activities becoming important

Answer 1

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What is the 'Service Sector'

The service sector produces intangible goods, more precisely services instead of goods, and according to the U.S. Census Bureau, it comprises various service industries including warehousing and truck transportation services, information sector services, commodities, securities and other investment services, professional, technical and scientific services, waste management services, health care and social assistance services, and arts, entertainment, and recreation services. Countries with economies centered around the service sector are considered more advanced than industrial or agricultural economies.

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Answer 2

Service sectors are becoming important as it is contributing to the GDP of the country and helping it in improving the modern economy.

Explanation:

• Service sector is a sector that provides or delivers services to its consumers.
• Services like health, electricity, finance, tourism are some of the types of service sectors.
• In this sector, there are more chances of interaction with the consumers.
• Because of this sector, India has a continuous flow of foreign direct investments and resulted in an increase in GDP by approx. 60-65%.

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