Sectors of the Indian Economy — Class 10 MCQs with Answers
Class 10 CBSE Economics · Chapter 2
30 practice questions · 10 Easy · 10 Medium · 10 Hard · Updated
Practise the most important Class 10 CBSE Economics questions from Chapter 2, "Sectors of the Indian Economy". You get 3 timed quizzes made from 30 NCERT-based MCQs, with answers and explanations. The questions are split into 10 Easy, 10 Medium and 10 Hard. Warm up on the basics, then move on to the exam-level questions that set top scorers in CBSE Board exams apart.
To score well in "Sectors of the Indian Economy", focus on dates, cause and effect, and reading maps and sources. Each MCQ here is timed and uses exam-style marking (+4 correct, −1 wrong, 0 skipped). This trains you to stay accurate under time pressure, as real papers need. Every question has a short explanation, so a wrong answer becomes a quick lesson. It is the fastest way to fix gaps before a test.
Use this chapter for focused revision. Start with the Easy set to check your basics on Sectors of the Indian Economy, then move to Medium and Hard to practise applying them. Your accuracy, streaks and XP save automatically. This chapter also adds to your overall Class 10 Economics mastery score. 6 sample questions are solved in full below, with the answer and a worked explanation. Sign in free to start practising.
Key concepts: Sectors of the Indian Economy (Class 10 Economics)
This chapter classifies the economy three ways — by activity (primary, secondary, tertiary), by conditions of work (organised, unorganised) and by ownership (public, private). It explains GDP, why the tertiary sector dominates GDP while most workers stay in the primary sector, underemployment, and MGNREGA's right to work.
- Three sectors by activity
- Primary (agriculture, mining, fishing) uses nature, secondary (manufacturing) transforms goods, tertiary (services like banking, transport) supports the other two.
- Gross Domestic Product (GDP)
- The value of all final goods and services produced in the three sectors within a country in one year; the measure of the economy's total size.
- Final vs intermediate goods
- GDP counts only final goods; intermediate goods (like flour used to bake bread) are excluded to avoid double-counting their value.
- Shifting sector importance
- Historically importance shifted from primary to secondary to tertiary; in India the tertiary sector now produces the largest share of GDP.
Sectors of the Indian Economy — important questions & MCQs with answers (Class 10 Economics)
6 solved questions from this chapter's difficulty levels, each with its answer and explanation. The other 24 are timed and scored when you sign in.
- Q1Easy
Agriculture belongs to the ___ sector.
A.TertiaryB.SecondaryC.QuaternaryD.Primary✓ CorrectAnswer: D. Primary
Explanation: Primary uses natural resources directly.
- Q2Easy
Railways in India are mainly owned and run by the:
A.Public (government) sector✓ CorrectB.Foreign companies onlyC.Unorganised sectorD.Private sectorAnswer: A. Public (government) sector
Explanation: In the public sector the government owns most assets and provides services like the Railways.
- Q3Medium
In modern Indian economy, the largest contributor to GDP is the:
A.Tertiary sector✓ CorrectB.Primary sectorC.Secondary sectorD.QuaternaryAnswer: A. Tertiary sector
Explanation: Services dominate India's GDP today.
- Q4Medium
Why does the government, and not private firms, usually undertake activities like building roads, dams and providing safe drinking water?
A.Such projects always earn huge private profitsB.Private firms are not allowed to build anythingC.They require heavy spending and benefit society as a whole, with little or no profit for private firms✓ CorrectD.Roads and dams are unimportantAnswer: C. They require heavy spending and benefit society as a whole, with little or no profit for private firms
Explanation: The public sector provides essential services and infrastructure that private firms avoid because returns are low but social benefit is high.
- Q5Hard
A sector contributes 50% of GDP but employs only 20% of the workforce, while another contributes 15% of GDP but employs 45% of workers. The correct inference is:
A.Output per worker cannot be comparedB.Both sectors have equal productivityC.The second sector has higher output per workerD.The first sector has much higher output per worker than the second✓ CorrectAnswer: D. The first sector has much higher output per worker than the second
Explanation: A high GDP share with few workers means high productivity per worker, unlike a sector that crowds many workers for little output.
- Q6Hard
Which combination correctly distinguishes the public sector from the private sector?
A.Public: government-owned, aim is public welfare; Private: privately owned, aim is profit✓ CorrectB.Public: privately owned for profit; Private: government-owned for welfareC.Both are government-ownedD.Both aim only at maximum profitAnswer: A. Public: government-owned, aim is public welfare; Private: privately owned, aim is profit
Explanation: The public sector is government-owned and prioritises welfare, while the private sector is privately owned and driven by profit.
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Start this chapter free →Sectors of the Indian Economy — FAQs
What are the key concepts in Class 10 Economics Sectors of the Indian Economy?+
This chapter classifies the economy three ways — by activity (primary, secondary, tertiary), by conditions of work (organised, unorganised) and by ownership (public, private). It explains GDP, why the tertiary sector dominates GDP while most workers stay in the primary sector, underemployment, and MGNREGA's right to work. Key ideas include Three sectors by activity, Gross Domestic Product (GDP), Final vs intermediate goods, Shifting sector importance.
What does Class 10 Economics Chapter 2 (Sectors of the Indian Economy) cover on XamBaaz?+
It has 30 NCERT-based MCQs on "Sectors of the Indian Economy": 10 Easy, 10 Medium and 10 Hard. Together they make 3 timed quizzes, and you never get the same set twice. Every question has an instant explanation. They help you prepare for CBSE Board exams.
Are these "Sectors of the Indian Economy" questions free to practise?+
Yes. Sign in with Google to practise "Sectors of the Indian Economy" free. Full unlimited access is ₹999/year on a launch offer until 1 December 2026. No chapter is charged separately.
How should I revise "Sectors of the Indian Economy" for the exam?+
Start with the Easy quiz to check your basics, then try Medium and Hard to practise applying them. There are 3 timed quizzes on this chapter, so you can come back for a fresh set instead of one you have seen. Read each explanation, retry the questions you miss, and track your accuracy until it stays high.
Are these "Sectors of the Indian Economy" MCQs available with answers?+
Yes. 6 sample questions are shown here in full, each with the correct option and a step-by-step "Why" explanation. Sign in free with Google to start practising, with instant scoring.
Is there negative marking in the "Sectors of the Indian Economy" quizzes?+
Yes. The timed quizzes use exam-style marking: +4 for a right answer, −1 for a wrong one and 0 for a skip. MHT-CET and CBSE board papers have no negative marking. Our mocks for those are scored their way.
What are the important questions from Sectors of the Indian Economy (Class 10 Economics)?+
The questions that matter most test Three sectors by activity, Gross Domestic Product (GDP), Final vs intermediate goods, Shifting sector importance. This page shows 6 solved important MCQs with answers and explanations; all 30 questions on the chapter are available as timed quizzes once you sign in.
Is there an online quiz for Sectors of the Indian Economy?+
Yes — Class 10 Economics Sectors of the Indian Economy has timed online quizzes at Easy, Medium and Hard levels, with instant scoring and a worked explanation on every question. The first quiz on the chapter is free.