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Economics

Give a few examples of public sector activities and explain why the government has taken them up.

Econ Sectors Ind

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A few examples of public sector activities and the reasons for government taking it up are given below:

  1. Indian Railways — Indian Railways is one of the largest rail networks in the world and is operated by the Ministry of Railways. The government has taken up this activity to provide affordable and accessible transportation for people and goods across the country. It helps in connecting remote areas, promoting trade and commerce, and supporting the movement of the population.
  2. Public Sector Banks — Banks like the State Bank of India (SBI) and Punjab National Bank (PNB) are owned and operated by the government. The government operates these banks to ensure financial inclusion, provide credit to priority sectors such as agriculture and small businesses, and maintain financial stability in the economy.
  3. Food Corporation of India (FCI) — The FCI is responsible for procuring, storing, and distributing food grains to ensure food security. The government manages this to stabilize food prices, ensure a stable supply of essential food items, and support farmers by guaranteeing a minimum support price (MSP) for their produce.
  4. National Health Mission (NHM) — The NHM encompasses various programs to improve healthcare services across India, particularly in rural and underserved areas. The government has undertaken this initiative to ensure that all citizens have access to basic healthcare services, reduce health disparities, and improve overall public health outcomes.

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