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0 Maharashtra is the wealthiest Indian state and has an annual GDP of US$220 billion,

nearly equal to that of Portugal.

1 The economy of India is the seventh-largest economy in the world measured by


nominal GDP and the third-largest by purchasing power parity (PPP).

2 India follows mixed economy. It is a golden mixture of capitalism and socialism.

3 After Independence India launched her First Five Years plan in 1950-51

4 Although India is an agro-based economy, emphasis has been given on development of


industries,service sector,socio-economic infrastructure.

5 Primary or Agricultural Sector: Activities including dairy, poultry, cattle rearing, fishing,
forestry, animal husbandry.In primary sector, most of the goods are produced by using
natural resources.

6 Secondary or Manufacturing Sector:large scale(iron, steel chemical ,engineerning), small


scale and tiny scale(Candle,matchbox etc) are included.

7 Service or Tertiary Sector: This sector produces different services like transport,
communication, banking, insurance, trade and commerce.
doctors, engineers, teachers, lawyers etc. come under service sector.

8 On the basis of Ownership or Organization -> Public Sector and Private Sector.

9 On the basis of habitation -> Rural Sector (3/4 th of total population in India lived in the
rural sector) and Urban Sector (1/4 th of the total population in India).

10 Dadabhai Naoroji is known as theFather of Indian Politics and Economics.He is also


called the Grand Old Man of India'.

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