Q1. Which of the following statements best describes the trend of the service sector’s contribution to Rajasthan’s Gross State Domestic Product (GSDP) over the last decade?
Service Sector in Rajasthan: Status, Issues and Initiatives: RAS Prelims MCQs
34 RAS Prelims MCQs on the service sector in Rajasthan cover tourism, banking, IT, construction and education. The tourist base, the IT hub of the State, the convener of the State Level Bankers’ Committee, the real estate boom and the private education sub-economy are asked as facts and effects.
Practice questions based on the RPSC RAS Prelims syllabus. They follow the exam pattern but are not past-paper questions.
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Q2. Consider the following statements regarding the structural composition of Rajasthan’s economy.
Statement I: The service sector accounts for more than forty percent of the total GSDP of Rajasthan at current prices.
Statement II: The growth rate of the service sector is strictly dependent on agricultural output in the state.
Which of the above statements is/are correct?
Statement I: The service sector accounts for more than forty percent of the total GSDP of Rajasthan at current prices.
Statement II: The growth rate of the service sector is strictly dependent on agricultural output in the state.
Which of the above statements is/are correct?
Explanation
The service sector in Rajasthan represents a substantial portion of the state’s economic output, frequently exceeding the forty percent mark in current price valuations. While agriculture remains important for employment, the service sector’s growth trajectory operates through diverse channels like tourism and telecommunications, making it less strictly dependent on annual agricultural fluctuations or primary sector outputs for its performance.
Q3. Consider the following statements regarding the sub-sectors of the service sector in Rajasthan.
I. Trade, hotels, and restaurants form a major component of the service sector’s contribution.
II. Real estate and professional services contribute minimally to the service sector GSDP.
III. Transport and communication services have shown consistent growth due to improved infrastructure.
Which of the above statement(s) is/are correct?
I. Trade, hotels, and restaurants form a major component of the service sector’s contribution.
II. Real estate and professional services contribute minimally to the service sector GSDP.
III. Transport and communication services have shown consistent growth due to improved infrastructure.
Which of the above statement(s) is/are correct?
Explanation
Sub-sectors like trade, hotels, and restaurants contribute significantly to Rajasthan’s economic output, fueled by a robust tourism industry. Similarly, transport and communication services have experienced steady growth due to significant infrastructure investments. However, real estate and professional services are also major contributors, meaning they do not have a minimal impact on the overall Gross State Domestic Product figures.
Q4. Which of the following sub-sectors is generally excluded when calculating the core service sector contribution to Gross State Domestic Product (GSDP) in Rajasthan?
Explanation
In economic accounting, mining and quarrying activities are classified under the industrial or secondary sector because they involve the extraction of natural resources. In contrast, public administration, financial services, and trade and repair services are quintessentially tertiary activities. These services focus on providing intangible value and administrative support, which forms the core of the state’s service sector contribution.
Q5. Given below are two statements, one labeled as
Assertion (A) and the other as Reason (R).
Assertion (A): The service sector has outpaced the agriculture and industry sectors in terms of GSDP contribution in Rajasthan.
Reason (R): Rajasthan possesses a highly diversified industrial base that entirely supports its service-oriented economy.
Select the correct answer from the codes given below:
Assertion (A) and the other as Reason (R).
Assertion (A): The service sector has outpaced the agriculture and industry sectors in terms of GSDP contribution in Rajasthan.
Reason (R): Rajasthan possesses a highly diversified industrial base that entirely supports its service-oriented economy.
Select the correct answer from the codes given below:
Explanation
While the service sector has indeed outpaced agriculture and industry in its contribution to the state’s Gross State Domestic Product, the reason provided is inaccurate. Rajasthan’s economy is increasingly service-oriented, but its industrial base is not entirely diversified enough to be the sole support system. The service sector’s growth is driven by tourism, digital initiatives, and urban expansion.
Q6. Which of the following industries is considered the most significant and historically dominant driver of the service sector in Rajasthan?
Explanation
Tourism and hospitality have historically served as the most significant drivers of Rajasthan’s service sector due to the state’s rich cultural heritage and monuments. This industry creates extensive forward and backward linkages, supporting local handicrafts, transport, and regional employment. While information technology and retail are growing rapidly, the tourism sector remains the most iconic and dominant historical contributor.
Q7. Match List-I (Tourism Campaigns/Slogans of Rajasthan) with List-II (Characteristics/ Timeline) and select the correct answer using the codes given below.
Codes:
| Tourism Campaigns/Slogans | Characteristics/Timeline |
|---|---|
| A. Padharo Mhare Desh | i. Introduced to provide financial relief to the tourism sector post-COVID-19 |
| B. Jaane Kya Dikh Jaye | ii. Traditional and widely recognized welcoming slogan of Rajasthan Tourism |
| C. Rajasthan Tourism Unit Policy | iii. Policy aimed at promoting private investment in tourism infrastructure |
| D. Mukhya Mantri Paryatan Udyog Sambal Yojana | iv. Marketing campaign launched in 2016 to rebrand Rajasthan tourism |
Explanation
Rajasthan tourism utilizes various slogans and policies to attract visitors and investment. The welcoming phrase is traditional and well-known, while newer marketing campaigns were launched more recently to modernize the state’s brand. Specific unit policies encourage private infrastructure development, and special welfare schemes were introduced recently to support the industry’s recovery following the disruptions caused by the global pandemic.
Q8. Identify the correct statement regarding the tourism sector in Rajasthan.
Explanation
Granting "Industry" status to the tourism sector allows businesses in this field to access institutional credit, subsidies, and concessional utility rates similar to manufacturing units. This policy encourages private investment and infrastructure development. Tourism provides widespread employment across various skill levels and regions, including rural wildlife areas, and it caters to both domestic and international visitors for revenue generation.
Q9. What is the primary cause-and-effect relationship between tourism growth and employment in Rajasthan?
Explanation
The growth of tourism creates a powerful multiplier effect, generating direct jobs in hotels and travel agencies while stimulating indirect employment in handicrafts, transport, and local food services. This widespread impact benefits diverse social groups and regions, far exceeding government-managed properties. It does not cause a decline in agriculture through land acquisition but rather complements the local rural economy.
Q10. Consider the following statements regarding the features of the tourism sector in Rajasthan.
I. It is highly labor-intensive and provides large-scale employment.
II. It promotes the conservation of historical monuments and heritage.
III. It plays a minimal role in women empowerment and local artisan livelihood.
IV. It stimulates infrastructure development in remote areas.
Which of the above statement(s) is/are correct?
I. It is highly labor-intensive and provides large-scale employment.
II. It promotes the conservation of historical monuments and heritage.
III. It plays a minimal role in women empowerment and local artisan livelihood.
IV. It stimulates infrastructure development in remote areas.
Which of the above statement(s) is/are correct?
Explanation
Rajasthan’s tourism industry is characterized by its high labor intensity and its role in preserving historical monuments through revenue generation. It also drives infrastructure development in remote areas to improve accessibility for visitors. Contrary to being minimal, tourism significantly empowers women and local artisans by creating a vast market for traditional crafts and providing diverse livelihood opportunities across the state’s rural landscape.Answer key for these questions
| Q | Correct answer |
|---|---|
| 1 | (b) It has emerged as the largest contributing sector to the GSDP. |
| 2 | (a) Only Statement I is correct |
| 3 | (c) I and III only |
| 4 | (d) Mining and Quarrying |
| 5 | (c) A is true but R is false. |
| 6 | (b) Tourism and Hospitality |
| 7 | (a) A-ii, B-iv, C-iii, D-i |
| 8 | (a) It holds "Industry" status to receive benefits like industrial units. |
| 9 | (c) Boosting direct and indirect employment through a multiplier effect in local sectors. |
| 10 | (b) I, II, and IV only |
Key facts from Service Sector in Rajasthan: Status, Issues and Initiatives
- Mining and quarrying is excluded when counting the core service sector.
- Domestic tourists form the vast majority of tourists in Rajasthan.
- Construction, though tied to real estate, is classed as part of the secondary sector.
- Jaipur has emerged as a Tier-2 hub for IT and ITeS.
- Bank of Baroda is the convener of the State Level Bankers’ Committee.
- Rapid rural-to-urban migration and industrial expansion drive the real estate boom in cities like Jaipur and Jodhpur; the private education sector forms a sub-economy of its own.
Frequently asked questions
How many RAS Prelims practice MCQs are there on Service Sector in Rajasthan: Status, Issues and Initiatives?
This page has 34 practice MCQs on Service Sector in Rajasthan: Status, Issues and Initiatives (Rajasthan Economy). Each has the correct answer, and most have an explanation.
Which city is Rajasthan’s IT hub?
Jaipur, which has emerged as a Tier-2 hub for IT and ITeS. The city has IT parks, SEZs and an educated workforce, and it draws investment from software and services firms.
Who convenes the State Level Bankers’ Committee in Rajasthan?
Bank of Baroda. The committee brings together banks and the State Government to plan credit and review the delivery of banking services in the State, including the credit plan for priority sectors.
Which tourists form the bulk of tourism in Rajasthan?
Domestic tourists from within India. Foreign tourists are fewer, though they spend more per visit, and the heritage, fairs and desert circuits are the main attractions, with Jaipur, Udaipur and Jaisalmer drawing the most visitors.