Explain with suitable examples how public sector contributes to the economic development of the nation

Explanation

Role of Public sector in economic development. The Public sector is that sector of the economy in which the government owns most of the assets and provides all the services e.g., railways, post and telegraph.
(i) It promotes rapid economic development through creation and expansion of infrastructure.
(ii) The public sector provides various services and facilities like construction of roads, bridges, railways, irrigation through dams, etc. where heavy spending is required.
(iii) A large number of activities are a primary responsibility of the government like schools, hospitals, housing, safe drinking water, etc.
(iv) Certain activities are meant to be supported by the government, like providing electricity to small scale industries at low prices, supply of food to the poor, etc. It encourages development of small, medium and cottage industries.
(v) It ensures availability of goods and services at moderate rates and also contributes to community development through creation and expansion of infrastructure.