Which one of the following statements is correct with respect to the composition of national income in India?

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Q: 106 (CDS-II/2016)

Which one of the following statements is correct with respect to the composition of national income in India?

question_subject: 

Economics

question_exam: 

CDS-II

stats: 

0,45,48,9,66,17,1

keywords: 

{'national income': [0, 2, 2, 4], 'sector': [0, 0, 0, 1], 'composition': [0, 0, 0, 1], 'services sector': [0, 0, 1, 4], 'agriculture': [5, 1, 0, 6], 'india': [8, 1, 7, 13]}

Option 1 states that the share of the manufacturing sector has declined in the composition of national income in India. This means that the percentage contribution of the manufacturing sector to the overall national income has decreased over time.

Option 2 states that the share of the services sector has increased sharply. This means that the percentage contribution of the services sector to the overall national income has shown a significant increase.

Option 3 states that the share of agriculture has remained static. This means that the percentage contribution of the agriculture sector to the overall national income has remained relatively constant and has not shown significant changes.

Option 4 states that the share of the services sector has declined. However, this contradicts option 2, which states that the share of the services sector has increased sharply. Therefore, option 4 is incorrect.

The correct answer is option 2, which states that the share of the services sector has increased sharply. This indicates that the services sector has played a significant role in the composition of national income in India and its contribution has grown over time.