Question
Which of the following statement is true for the Public Sector Unit?
The correct answer is
Most of assets is owned by government
Public Sector Unit Ownership Explained
A Public Sector Unit (PSU) is defined by its ownership structure. Key characteristics focus on who controls and owns the entity's assets.
- Option 3: Most of assets is owned by government accurately describes a Public Sector Unit. PSUs are enterprises where the central or state government holds the majority stake and exercises control.
- Option 1 is incorrect because ownership by 'a group of people' can refer to cooperatives or shareholders in a public limited company, not specifically a PSU.
- Option 2 is incorrect as it's too general. While some PSUs are large companies, this description doesn't uniquely identify them, as large private corporations also exist.
- Option 4 is incorrect. Ownership by 'an individual' defines sole proprietorships or private businesses, not government-controlled entities.
The fundamental aspect distinguishing a Public Sector Unit is government ownership of its assets.
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Important Questions from Indian Economy
- The percentage of India's population in the total population of the world as per 2011 census is: ________
- Which of the following five year plan of India recognized human development as the core of development efforts?
- In which year were the major economic reforms introduced in India?
- What is the term for the shift of workers from agriculture to industry and services?
- How did Second Generation Reforms impact foreign investment in India?
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