International Research Journal of Commerce , Arts and Science

 ( Online- ISSN 2319 - 9202 )     New DOI : 10.32804/CASIRJ

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IMPORTANCE OF TERTIARY SECTOR IN ECONOMY

    2 Author(s):  ASHA PAHWA, JYOTI YADAV

Vol -  5, Issue- 2 ,         Page(s) : 40 - 44  (2014 ) DOI : https://doi.org/10.32804/CASIRJ

Abstract

The present importance of tertiary sector is the highest among all sectors and may be understood as follows: India's economic output is represented by the primary sector, the secondary sector and the tertiary sector. The primary sector, secondary sector and tertiary sectors account for 17.4%, 25.8%, 56.9%of the GDP respectively. Unfortunately the common man, the politicians and the economists do not understand the importance of the tertiary sector in economic development. As an economy grows prosperous, its people do not require more and more of agricultural crops and manufactured output. People need more of services rather than physical goods for better quality life. They need more of transport (road, air, sea, water, rail), more of communication ( mobiles, internet, ), more of education, more of training, more of healthcare, doctors, nurses, hospitals, diagnostic centers, more of entertainment (TV shows, movies, ) more technicians and artisans for repair and maintenance of buildings, houses, household equipments, plumbers, electricians, sewerage systems, insurance, more courier services, more banks, ATMs, more organised shopping malls, car parking, and so on. Income and employment growth flies in the tertiary sector. Tertiary sector includes scientific research and innovations that increases productivity and provide engineering and construction consultancy support services for all projects in all sectors. It is foolish to think the economies will continuously grow with primary and secondary sectors retaining the same importance or weight in the economy. Most advanced and rich countries have more than 80% of employment and income in the services sector. In the US, agriculture is less than 1%.

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