During the last decade in India, which sector of the economy has shown the most remarkable expansion and has become the major contributor to Gross Domestic Product?

Difficulty: Easy

Correct Answer: Tertiary sector (services)

Explanation:


Introduction / Context:
India has undergone significant structural change in its economy since independence. Over time, the contribution of agriculture to national income has declined, while industry and especially services have grown rapidly. In recent decades, the services sector, also called the tertiary sector, has become the largest contributor to Gross Domestic Product. This question checks whether students understand which sector has shown the most remarkable expansion during the last decade and dominates India's GDP today.


Given Data / Assumptions:
We are comparing the growth and expansion of different sectors of the Indian economy.The sectors mentioned are primary, secondary, tertiary, and mining.We must identify which sector has shown remarkable expansion in the last decade.We assume standard definitions where the tertiary sector includes services like information technology, finance, trade, transport, and communication.


Concept / Approach:
The primary sector covers agriculture, forestry, and fishing. The secondary sector includes manufacturing and industrial production. The tertiary sector covers services such as banking, insurance, trade, tourism, information technology, and communication. Over the last several decades, particularly in the most recent decade, India has seen very rapid growth in services, especially information technology and business process outsourcing. As a result, the tertiary sector now contributes the largest share to GDP and is often described as the main engine of growth.


Step-by-Step Solution:
Step 1: Recall that the share of agriculture in India's GDP has steadily declined, even though it still employs a large part of the population.Step 2: Note that the secondary sector has grown, but its expansion has been moderate compared to the services boom.Step 3: Recognise that the tertiary sector has grown rapidly due to expansion in trade, transport, communication, financial services, and especially information technology.Step 4: Understand that the mining sector is relatively small and has not seen the same broad based expansion as services.Step 5: Conclude that the tertiary sector is the sector that has shown remarkable expansion during the last decade.


Verification / Alternative check:
Official statistics and economic surveys consistently show that services account for well over half of India's GDP, while agriculture contributes a much smaller share and industry an intermediate share. The strong growth of information technology, telecommunications, finance, retail, and tourism confirms that the tertiary sector is the most dynamic part of the economy in recent years. These facts are regularly cited in exam preparation materials, which reinforces that the answer must be the tertiary or services sector.


Why Other Options Are Wrong:
Primary sector: The relative share of agriculture and allied activities has declined in GDP, and growth has been slower compared to services.Secondary sector: Industry has grown, but it has not matched the rapid expansion of services, and manufacturing's share in GDP has remained fairly moderate.Mining sector: Mining is a small part of the economy and does not represent the broad based, remarkable expansion described in the question.


Common Pitfalls:
Some learners may think that industry is the most rapidly expanding because industrialisation is strongly associated with development. However, in India's case, services have grown faster and contributed more to GDP. Confusing employment patterns with income contributions is another pitfall, since agriculture still employs many people but contributes less to total output. Being aware of these distinctions helps answer such structural change questions correctly.


Final Answer:
During the last decade, the sector that has shown the most remarkable expansion in India is the Tertiary sector (services).

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