Q. Consider the following statements:

1. Market activities involve remuneration to anyone who performs.
2. Consumption and processing of primary product and own account production of fixed assets are examples of non-market activities.

Which of the above is / are correct?
Answer: Both 1 and 2
Notes: Both are correct examples. Economic activities have two parts - market activities and non-market activities. Market activities involve remuneration to anyone who performs i.e. activity performed for pay or profit. These include production of goods or services, including government service. Non-market activities are the production for self-consumption. These can be consumption and processing of primary product and own account production of fixed assets.

This question is part of UPSC Daily 20 MCQ Series Course on GKToday Android app.