Economics


Chapter : 2. Sectors of the Indian Economy

Contribution of Public Sector to the Economic Development of a Nation

Contribution of Public Sector to the Economic Development of a Nation :
It is quite necessary to have a public sector because of the following reasons :
1. The public sector provides many essential things at quite a reasonable cost which the private can not provide.
2. The public sector can set up heavy industries which require a lot of money, but private sector cannot do so.
3. The public sector has the benefit of the people above everything because its purpose is not to earn money but to benefit the people at all costs.
4. The public sector is mainly held by the government which so often bears some of the cost for the benefit of the public especially for the poor people. People are given wheat, kerosene oil etc. at the lower prices than they buy from the market.

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