Why are public sectors considered as backbone of development of Indian economy?
Public sector is governed by the local or central government. It plays the vital in development of a country. Need of public sector can be understand by the following points:-
1 Generate employment:- public sector provide employment to the large part of labour force according to their education, skills and capability.
2. Economic development:- Economic growth of a country is mainly depend on the industrial sector, particularly, the heavy industries producer such as steel, iron, petroleum, gas etc. The development of all these heavy industries are the main drivers of growth in the country and require government intervention in the form of investment and management control.
3. Regional development:- Main purpose of public sector is not making profit but working for welfare of society. So, they never leave behind the region which are less developed but they try to develop these regions to the fullest and show their hidden strength which private sector fails to do.
4. Sound infrastructure:- Development of infrastructure such as roads, bridge, railway, transportation facility, communication system, etc. are vital for the growth and development of the nation. However, due to heavy investment requirement and heavy gestation period, they require government intervention.
1 Generate employment:- public sector provide employment to the large part of labour force according to their education, skills and capability.
2. Economic development:- Economic growth of a country is mainly depend on the industrial sector, particularly, the heavy industries producer such as steel, iron, petroleum, gas etc. The development of all these heavy industries are the main drivers of growth in the country and require government intervention in the form of investment and management control.
3. Regional development:- Main purpose of public sector is not making profit but working for welfare of society. So, they never leave behind the region which are less developed but they try to develop these regions to the fullest and show their hidden strength which private sector fails to do.
4. Sound infrastructure:- Development of infrastructure such as roads, bridge, railway, transportation facility, communication system, etc. are vital for the growth and development of the nation. However, due to heavy investment requirement and heavy gestation period, they require government intervention.