In the usual classification of sectors of the economy, transport services come under which sector of economic activity and growth?

Difficulty: Easy

Correct Answer: Tertiary sector

Explanation:


Introduction / Context:
Economic activities are commonly grouped into primary, secondary and tertiary sectors, and sometimes quaternary and quinary sectors are also mentioned. This simple classification helps in understanding structural changes as countries develop. Transport is an important activity in any economy, and this question asks you to place it in the correct sector.


Given Data / Assumptions:
- The activity under consideration is transport, including services like road, rail, air and sea transport.
- The sectors listed are primary, secondary, tertiary and quaternary.
- You must select the sector to which transport belongs in basic economic classification.


Concept / Approach:
The primary sector involves extraction and production of natural resources such as agriculture, mining and fishing. The secondary sector involves manufacturing and processing activities that transform raw materials into finished goods. The tertiary sector includes services such as trade, transport, communication, banking, education and health. The quaternary sector is sometimes used to describe knowledge based services such as research and information technology. Transport does not directly extract resources or manufacture goods; it provides a service that moves goods and people from one place to another, so it clearly falls under the tertiary sector.


Step-by-Step Solution:
Step 1: Option A, secondary sector, covers manufacturing and industrial activities. Transport does not involve making goods in factories, so this is not the best classification.Step 2: Option B, primary sector, includes farming, forestry, fishing and mining. Transport does not directly exploit natural resources.Step 3: Option C, tertiary sector, is the service sector where activities such as trade, transport, communication, finance and tourism are grouped. Transport is a classic example of a service industry.Step 4: Option D, quaternary sector, focuses on advanced knowledge based services such as research and development. While some modern transport planning uses advanced knowledge, the basic transport service itself is still classified under the tertiary sector.


Verification / Alternative check:
You can verify your answer by recalling that in national income and employment data, transport, storage and communication are usually listed under services. In school level textbooks, diagrams showing the three sectors often place transport icons such as trucks or trains under the tertiary sector. These consistent representations reinforce that transport belongs to the service sector.


Why Other Options Are Wrong:
The primary sector option is wrong because transport does not involve extraction of resources. The secondary sector option is wrong because transport does not convert raw materials into finished products. The quaternary sector option is wrong because it is reserved for more specialised knowledge services rather than basic transport activities.


Common Pitfalls:
Some candidates mistakenly think that because transport uses physical infrastructure such as roads and vehicles, it should be placed with industry in the secondary sector. However, the essence of the activity is the provision of a service, not the manufacture of goods. Focusing on the nature of output rather than the tools used helps to classify the activity correctly.


Final Answer:
Transport comes under the Tertiary sector of economic activity.

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