Which sector involves converting raw materials into finished or semi-finished goods?

• A. Primary sector
• B. Secondary sector
• C. Tertiary sector
• D. Quaternary sector

Answer: (B)

The idea being tested is the part of the economy that turns raw materials into goods that can be sold or used. This is the secondary sector, which covers manufacturing and processing activities. It takes inputs from the primary sector (like ore, trees, or crude oil) and transforms them into finished products or semi-finished items used in further production. Examples include turning iron ore into steel components, refining crude oil into plastics, or assembling cars. The other sectors don’t fit: the primary sector focuses on extraction, the tertiary sector on services, and the quaternary sector on knowledge-based activities like research and information services.