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SAI INTERNATIONAL SCHOOL
SESSION 2020-21
CLASS-X
ECONOMICS- Ch-2- SECTORS OF INDIAN ECONOMY
LESSON NOTES
SUB-TOPIC- 5
Sectors in terms of Public and Private
SECTORS IN TERMS OF OWNERSHIP: PUBLIC AND PRIVATE SECTORS
PUBLIC SECTOR-
i. In the public sector, the government owns most of the assets and provides all
the services.
ii. Railways or post offices are an example of the public sector.
iii. The purpose of the public sector is public welfare.
iv. Government raises money through taxes and other ways to meet expenses
on the services rendered by it.
v. Modern day governments spend on a whole range of activities.
vi. There are several things needed by the society as a whole but which the
private sector will not provide at a reasonable cost. Some of these need spending
large sums of money, which is beyond the capacity of the private sector.
PRIVATE SECTOR-
i. In the private sector, ownership of assets and delivery of services is in the
hands of private individuals or companies.
ii. Tata Iron and Steel Company Limited (TISCO) or Reliance Industries Limited
(RIL) are privately owed
iii. Activities in the private sector are guided by the motive to earn profits.