On what basis, can we divide the economy into public and private sector?

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Employment condition

Nature of work

Number of employees

Ownership of enterprises

answer is D.

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Detailed Solution

Based on the ownership of enterprises, we can divide an economy into two sectors: Public and Private. The public sector includes all those enterprises/firms owned and managed by the government. In the public sector, the government is the one that provides services to the people. For example, Railways and Post offices are public sector enterprises owned by the Indian government. On the other hand, the enterprises owned by private individuals are called private sector enterprises. Private individuals and companies are the ones providing services in the private sector. Private enterprises aim to maximize their profits. The motive of public enterprises is to provide services to people at a reasonable price.

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