Describe the four major sectors in an economy according to the macroeconomics point of view



An economy is generally classified into the following four sectors:
(i) Household sector It engaged in the consumption of goods and services.
(ii) Producing sector It engaged in the production of goods and services.
(iii) Government sector It engaged in such activities which are related to taxation and subsidies as well as consumption and production.
(iv) Rest of the world It engaged in exports and imports.