21 Views

Question : The "formal sector" refers to:

 

Option 1: The sector of the economy that includes self-employed individuals and small-scale businesses

Option 2: The sector that is regulated by the government

Option 3: The sector that focuses on manufacturing industries

Option 4: The sector that relies on foreign direct investment


Team Careers360 18th Jan, 2024
Answer (1)
Team Careers360 20th Jan, 2024

Correct Answer: The sector that is regulated by the government


Solution : The correct answer is (b) The sector that is regulated by the government.

The "formal sector" refers to the part of the economy that is officially recognized and regulated by the government. It typically includes businesses and organizations that operate within the legal framework, comply with labor laws, pay taxes, and provide formal employment. This sector is often characterized by larger enterprises, formal contracts, and regularized working conditions. It is contrasted with the "informal sector," which includes self-employed individuals, small-scale businesses, and activities that operate outside the formal regulatory framework.

 

Related Questions

Amity University-Noida B.Tech...
Apply
Among top 100 Universities Globally in the Times Higher Education (THE) Interdisciplinary Science Rankings 2026
Amrita University B.Tech 2026
Apply
Recognized as Institute of Eminence by Govt. of India | NAAC ‘A++’ Grade | Upto 75% Scholarships
UPES B.Tech Admissions 2026
Apply
Last Date to Apply: 28th Feb | Ranked #43 among Engineering colleges in India by NIRF | Highest Package 1.3 CR , 100% Placements
Amity University-Noida BBA Ad...
Apply
Among top 100 Universities Globally in the Times Higher Education (THE) Interdisciplinary Science Rankings 2026
BML Munjal University | B.Tec...
Apply
A Hero Group Initiative | Up to 100% Scholarships | Highest CTC 32.99 LPA | Average CTC 8.45 LPA | Accepts JEE Score | Applications Closing Soon!
Amity University-Noida MBA Ad...
Apply
Ranked among top 10 B-Schools in India by multiple publications | Top Recruiters-Google, MicKinsey, Amazon, BCG & many more.
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books