Solution

The sectors of the economy mainly include the Primary sector, secondary sector and tertiary sector. Apart from these 3 main sectors, 2 more sectors – Quaternary and Quinary sectors are also considered. Primary Sector § In Primary sector of economy, activities are undertaken by directly using natural resources . Agriculture, Mining, Fishing, Forestry, Dairy etc. are some examples of this sector. § It is called so because it forms the base for all other products . Since most of the natural products we get are from agriculture, dairy, forestry, fishing, it is also called Agriculture and allied sector. § People engaged in primary activities are called red-collar workers due to the outdoor nature of their work. Secondary Sector § It includes the industries where finished products are made from natural materials produced in the primary sector. Industrial production, cotton fabric, sugar cane production etc. activities comes under this sector. § Hence its the part of a country's economy that manufactures goods, rather than producing raw materials § Since this sector is associated with different kinds of industries, it is also called industrial or manufacturing sector . § People engaged in secondary activities are called blue collar workers . § Examples of manufacturing sector: o Small workshops producing pots, artisan production. o Mills producing textiles, o Factories producing steel, chemicals, plastic, car. o Food production such as brewing plants, and food processing. o Oil refinery. Tertiary Sector/Service Sector § This sector’s activities help in the development of the primary and secondary sectors. By itself, economic activities in tertiary sector do not produce goods but they are an aid or a support for the production. § Goods transported by trucks or trains, banking, insurance, finance etc. come under the sector. It provides the value addition to a product same as secondary sector. § This sector jobs are called white collar jobs . Quaternary Activities § These are specialized tertiary activities in the ‘Knowledge Sector’ which demands a separate classification. § The quaternary sector is the intellectual aspect of the economy. It is the process which enables entrepreneurs to innovate and improve the quality of services offered in the economy. § Personnel working in office buildings, elementary schools and university classrooms, hospitals and doctors’ offices, theatres, accounting and brokerage firms all belong to this category of services. § Like other tertiary functions, quaternary activities can also be outsourced. Quinary Activities § The quinary sector is the part of the economy where the top-level decisions are made . This includes the government which passes legislation. It also comprises the top decision-makers in industry, commerce and also the education sector . § These are services that focus on the creation, re-arrangement and interpretation of new and existing ideas; data interpretation and the use and evaluation of new technologies. § Profession under this category often referred as 'gold collar' professions, they represent another subdivision of the tertiary sector representing special and highly paid skills of senior business executives, government officials, research scientists, financial and legal consultants, etc.