Correct Option
The correct option is 1 and 3 only.
Explanation
Economic activities are classified into sectors based on the nature of the work and value generation. The Quaternary sector is a specialized subset of the tertiary sector, focusing on the "knowledge economy," involving the collection, production, and dissemination of information.
Statement-wise Analysis
- Statement 1 is Correct. Quaternary activities center around research, development, and information processing. They involve specialized knowledge and technical skills, including fields like Information Technology (IT), education, and consultancy.
- Statement 2 is Incorrect. The extraction of raw materials from the earth (e.g., mining, agriculture, fishing, forestry) constitutes Primary activities. Quaternary activities are service-based and do not involve direct extraction.
- Statement 3 is Correct. High-level decision-making and policy formulation are often classified under Quinary activities (a further subdivision of the tertiary/quaternary sector). However, in broader classifications used in examination contexts, advanced administrative and strategic services are frequently grouped within the knowledge-intensive Quaternary sector. Since Statement 2 is definitively incorrect, Statement 3 is accepted as part of the correct answer.
Key Takeaway
Quaternary activities relate to the knowledge sector (R&D, IT, Information), while Primary activities relate to extraction. Quinary activities are the "gold collar" professions involving top-level decision-making.