08 Mar 2022

TNPSC Indian Economy – Nature of Indian Economy

TNPSC Indian Economy – Nature of Indian Economy:

Indian Economics questions are more important for the TNPSC Group 2 Prelims Exam. You will get 6 to 8 marks from that Indian Economy portion. On this page, TNPSC Group 2, 2a, and Group 4 TNPSC Indian Economy Study Materials questions with answers are uploaded. Go through TNPSC Indian Economy Notes, Questions, and Answers below for the prelims exam.

Students who are preparing for the Group exam concentrate more on the maths part. you will easily score more marks in the Economics part. For students’ benefit, we upload TNPSC Indian Economy English and Tamil questions and answers in PDF for download. TNPSC aspirants can download and use it for the group prelims exam. kindly download TNPSC Indian Economy PDF given below:

Consumer Goods:

  • The finished goods which are bought from the market to fulfill the daily needs of the consumers are called consumer goods. Example: rice,  clothes, bicycles, etc.


  • The amount from the income which is left for future needs after consumption is called savings.


They are concerned with the production of raw materials for foodstuff and industrial use. Primary activities include

  • Agriculture
  • Cattle rearing
  • Fishing
  • Mining
  • Collection of fruits, nuts, honey, rubber, resin, and medicinal herbs, lumbering.


  1. The raw materials obtained from the primary activities are converted into finished products through machinery on a large scale. These activities are called secondary activities.
  2. Industries are classified on the basis of the availability of raw materials, capital, and ownership.

On the basis of raw materials, industries are classified as,

  • Agro-based industries – Cotton textiles, Sugar mills, and Food processing.
  • Forest-based industries – Paper mills, Furniture making, Building Materials.
  • Mineral-based industries – Cement, Iron, Aluminium Industries.
  • Marine based industries – Seafood processing


“I already told you that industries produce goods and distribute them to the people. For this purpose, some services are required. These services are called tertiary activities or service sectors. The service sector serves the people to fulfill their daily needs like:

  • Transport – roadways, railways, waterways, airways
  • Communication – Post, Telephone, Information Technology, etc
  • Trade – Procurement of goods, selling
  • Banking – Money transactions, banking services

TNPSC Indian Economy – Nature of Indian Economy Questions and Answers:

I. Fill in the blanks:
1. The producers of food grains are _______.
2. Collection of honey is an ______ occupation
3. The conversion of raw materials into finished goods is called _______
4. According to Gandhiji the villages are ______ of the nation.
5. The percentage of the population in the cities of Tamil Nadu is _______


  1. Farmers
  2. Primary
  3. Secondary activities
  4. backbone
  5. 47%

II Match the following:
1. Cattle rearing – a.) Secondary occupation
2. Food processing – b.) Services
3. Iron & Steel Industry – c.) Primary occupation
4. Telephone    –   d.) Agro-based industry
5. Cotton Industry – e.) Tertiary occupation


1. – c
2. – d
3. – a
4. – b
5. – d

III Match and find the odd pair:
1. Small scale Industry – a.) Transaction of Money
2. Forest-based Industries – b.) Information Technology
3. Services – c.) Paper Industries
4. Banking – d.) Cattle rearing

1. – d
2. – c
3. – b
4. – a

IV Choose the correct answer:
1. Agriculture is a (Primary / Secondary) occupation
2. Economic activities are divided on the basis of (ownership/use)
3. Sugar Industries are (Primary / Secondary) activity
4. Agro-based industry (Cotton / Furniture)
5. Dairy farming is a (Public sector / co-operative sector)


  1. Primary
  2. use
  3. Secondary
  4. Cotton
  5. Co-operative sector

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