MasteryExams
Economics • Economic BasicsEasy

What is the primary factor contributing to the high share of the tertiary sector in the Gross State Domestic Product (GSDP) of Himachal Pradesh?

A. Extensive heavy metal industries
B. Large-scale commercial shipping ports
C. Thriving tourism and public administration services✓ Correct Answer
D. Intensive commercial paddy cultivation

💡 Solution & Explanation

Tourism, hospitality, and extensive public administration services form the backbone of the service sector in Himachal Pradesh, driving its tertiary growth. Heavy industries are limited due to fragile mountain ecosystems, and commercial shipping is non-existent due to landlocked terrain. The state economy also heavily relies on horticulture and hydroelectric power generation.

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