Sectors in Terms of Ownership: Public and Private Sectors
Public sector
The part of the economy that falls under the ownership and direction of the government is referred to as the public sector. The provision of essential goods and services to citizens, the encouragement of economic growth, and the defense of the rights and interests of more vulnerable members of society are the primary goals of the public sector.
Private sector
The portion of an economy that is not controlled directly by a government agency is referred to as the private sector, and it is composed of both individual people and businesses. The majority of businesses operating in the private sector are operated with the goal of generating profits.
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Public Sector |
Private Sector |
| This industry is under the direction and supervision of the government. | An individual possesses ownership of this portion of the market. |
| The only pursuit of financial gain is not the objective of the public sector | The desire to increase one’s wealth drives all of the endeavors that take place in the private sector. |
| This sector is primarily concerned with the well-being of the country’s populace as a whole, sometimes known as public welfare. |
This industry places a strong emphasis on developing a positive brand image. |
| The acquisition of capital can be accomplished by the collection of public money in the form of taxes, bonds, and many other levies. |
In this industry, capital can be raised through the sale of shares or the provision of loans. |
| Jobs are exceptionally secure due to criteria such as merit, advancement, or length of service. | This does not guarantee job stability because employment is determined only by performance and the amount of output produced. |
| A highly secure career, several retirement facilities, and other perks, among other things. | It does not provide any pension benefits or allowances of any kind. |
| Jobs that fall under this category include those in the postal service, education, the armed forces, and railways. |
Jobs available in this area include those at Tata Iron and Steel Company Limited, Reliance, and in the information technology sector, amongst others. |
CBSE Notes Class 10 Economics Chapter 2 : Sectors of the Indian Economy
An economy is understood better when we study its components or sectors. So, in the CBSE Notes Class 10 Economics Chapter 2- Sectors of the Indian Economy, we will learn important aspects of the 3 types of classification of the economy; primary, secondary, and tertiary, organized/unorganized, and public/private sectors. To understand this chapter better, we will relate the topics to daily life and these topics will help us to familiarise ourselves with some fundamental concepts like employment, Gross Domestic Product, and so forth.