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TANCET 2025 Solved Papers

Question Numbers: 6-10

CASE STUDY 2

Between 2002-03 and 2006-07 Indian economy grew annually at 8.7\% led by the services sector at 9\% per year. In 1990, India's share of services at 40\% of GDP was consistent with its per capita income for low income country. By 2001, this share of one half of the GDP was higher by five percentage points, compared to the average for low income countries. Economic reforms that energized the private corporate sector and technological changes that opened up new vistas in telecommunications, IT and outsourcing are believed to be responsible for the impressive performance. However, the services trend remains a puzzle at a low per capita income, with 35\% of the workforce still engaged in agriculture and when agriculture decelerated and industry stagnated defying a styled fact in growth theory.

Question : 7 of 100

Marks: +1, -0

Services growth was consistent.

A Major Objective in making the decision: one of the goal sought by the decision
A Major factor in making the decision: an aspect of the problem, specifically mentioned in the passage that fundamentally affects and/or determines the decision
A Minor Factor in making the decision: a less important element bearing on or affecting a Major factor, rather than a Major Objective directly
An Unimportant issue in making the decision: an item lacking significant impact on or relationship to, the decision.

Validate

Solution:

Concept:

The statement refers to a key factor explicitly mentioned in the passage that shaped India’s economic performance, not a goal or a minor detail.

Explanation:

The passage says that between

2002

03

and

2006

07

, the Indian economy grew at

8.7\%

annually, led by the services sector at

9\%

per year.

This shows that consistent growth in services was directly responsible for the economy’s impressive performance.

Since the statement is specifically mentioned in the passage and fundamentally affects the central issue of economic growth, it is a major factor in making the decision.

It is not a minor factor, not an unimportant issue, and not a major objective or goal.

Answer:

Option B: A Major factor in making the decision.

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