Use app×
Join Bloom Tuition
One on One Online Tuition
JEE MAIN 2025 Foundation Course
NEET 2025 Foundation Course
CLASS 12 FOUNDATION COURSE
CLASS 10 FOUNDATION COURSE
CLASS 9 FOUNDATION COURSE
CLASS 8 FOUNDATION COURSE
0 votes
14.0k views
in Economics by (65.0k points)
closed by

What is sectoral composition of an economy? Is it necessary that the service sector should
contribute maximum to GDP of an economy? Comment.

1 Answer

+1 vote
by (49.2k points)
selected by
 
Best answer

Sectoral composition of an economy is the contribution of sectors such as the agricultural sector, service sector and industrial sector to the GDP of an economy.

Yes, it is necessary that the service sector should contribute maximum to the GDP of an economy. When an economy grows, there exists a situation called structural transformation. This implies that the economy's dependence on the agricultural sector will decrease to the minimum level and the share of the industrial and service sectors in the total GDP will increase over the years. The growth in the performance of the service sector with higher contribution to the total GDP is an indication of economic development. 

Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students.

Categories

...