Which of the following is a major reason for the growth of the service sector in India? MCQ with Answer and Explanation

Which of the following is a major reason for the growth of the service sector in India?
A. Liberalisation, IT revolution and rising incomes
B. Decline in demand for services
C. Complete absence of industrial growth
D. Only agricultural growth
Answer: Option A
Solution (By JKSSB Mock Tests)
The service sector in India has grown rapidly due to economic liberalisation, the information technology revolution, rising incomes and global demand for services such as software and BPO.

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Practice More Economy Set 1 Questions

Question #1
The 'Millennium Development Goals' were replaced by which framework?
A. Sustainable Development Goals
B. Kyoto Protocol
C. Paris Agreement
D. Sendai Framework

Correct Answer: Option A


Explanation:
The SDGs replaced the Millennium Development Goals in 2016.

This question belongs to: Economy GK Economy Set 1
Question #2
Which of the following is a characteristic of 'Libertarian Paternalism'?
A. The use of mandates that eliminate choice
B. Only laissez-faire without any guidance
C. The design of policies that steer people toward better choices while preserving freedom of choice
D. The complete rejection of any paternalistic intervention

Correct Answer: Option C


Explanation:
Libertarian paternalism, the philosophical foundation of nudge theory, advocates interventions that improve welfare by guiding choices without restricting the set of available options.

This question belongs to: Economy GK Economy Set 1
Question #3
The 'demographic dividend' can be reaped when:
A. working-age population is large and productive
B. dependency ratio is high
C. elderly population is large
D. birth rate is high

Correct Answer: Option A


Explanation:
Demographic dividend arises from a large productive working-age population.

This question belongs to: Economy GK Economy Set 1