Question

why does operating surplus not arise in subsistence sector

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Answer 1

Explanation:

Reason that goverment's operating surplus is zero or nil is that the main motive of government is maximisation of social welfare rather than profit. The subsistence sector relies on natural resources to provide basic needs. ... Accordingly, their operating surplus is minimal or zero.

Answer 2

Answer:

Reason that goverment's operating surplus is zero or nil is that the main motive of government is maximisation of social welfare rather than profit. The subsistence sector relies on natural resources to provide basic needs. ....... Accordingly, their operating surplus is minimal or zero.