A Study of Services Sector in India and Haryana –Post Economic Reform

Abstract

Adam Smith, the father of Modern Economics has stated ‘services are unproductive’. But time has changed and now services are playing major role in the economy. Services sector has emerged as the fastest growing sector of the economy. Services sector is called the tertiary sector. The new economic policy of 1991 was the turning point of the Indian economy. A lot of changes in the economy have been occurring due to the adoption of ‘The New Economic Policy’ especially, in the services sector. The current situation in India is that the growth rate of services has overtaken both agriculture and industry. Service sector has contributed 63percent in the GDP which is highest, as compared to agriculture and  industry sector.

The present paper’s focus is on the basic changes facing by role of services sector in India and Haryana economy. There are mainly three sectors in the economy which contribute maximum in the services sector in Haryana Economy. These are Primary, Secondary and Tertiary. Services sector has been almost increased with the effect of IT revolution.