classify economic activity on the basis of assets and its responsibility for delievery of services

Dear Student,

a. The private and public sector as economic activities are classified on the basis of ownership of assets and responsibility in terms of delivery of assets.
b. Private sector the means of production or assets are privately owned by individuals or companies.
c. The activities in the private sector are guided by the motive of earning profits.For example, private schools, private hospitals , Reliance industries etc.

d. In Public sector on the other hand, there is a  state ownership, means of production are owned by the government which aims at providing services to all.
e.The main aim of the government sector is to ensure welfare and not make profit, it thus provides basic services like health, education, medical, fair price shops which can be within everybody's reach and that its benefits can reach out to more and more people.
f. The money in the public sector is raised by means of taxes which are used for providing public services.



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