WBCS.LIVE practice question

The unorganised sector of India is characterised by

Solve this multiple-choice question and check the correct answer with its explanation below.

Answer options

  1. more currency transactions.
  2. more bank transactions.
  3. more barter transactions.
  4. more foreign exchange transactions.

Correct answer and explanation

Correct answer: more currency transactions.

Explanation: āœ… Correct Answer: A) more currency transactions. šŸ“š Explanation: The unorganised sector in India, which includes small farms and street vendors, is characterized by a high reliance on physical currency (cash). Unlike the formal sector, these businesses often lack access to digital banking and formal credit. This makes monitoring and taxation in this sector quite difficult for the government.