Which of these is a component of the tertiary sector of an economy?

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SSC CHSL Exam 2023 Tier-I Official Paper (Held On: 11 Aug, 2023 Shift 1)
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  1. Mining and quarrying
  2. Water supply
  3. Electricity
  4. Hotels and restaurants

Answer (Detailed Solution Below)

Option 4 : Hotels and restaurants
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Detailed Solution

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The correct answer is Hotels and restaurants. Key Points

  • Hotels and restaurants are a component of the tertiary sector of an economy.
  • The tertiary sector is also known as the service sector, and it includes all activities that provide services to consumers and other businesses.
  • In the three-sector model, the third economic sector is the tertiary sector.
  • The primary and secondary sectors are the others. 

Additional Information

  • Mining and quarrying is a component of the primary sector of an economy, which includes all activities related to natural resources extraction.
  • Water supply is a component of the utility sector of an economy, which includes all activities related to the provision of public utilities such as water, electricity, and gas.
  • Electricity is also a component of the utility sector of an economy, as it is a public utility that is essential for many other economic activities.
  • All operations with the ultimate goal of using up natural resources—agricultural, fishing, forestry, mining, and deposits—are included in the primary sector.
  • The portion of the economy centered on manufacturing is known as the secondary sector.
    • Construction, fabrication, assembly, distillation, and purification are examples of secondary sector activities. 
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