According to the macroeconomics an economy in classified Into the following four sectors.
1. Household Sector This sector engaged In the consumption of goods and services. Household spend their income on payment for goods and services purchased. payment of lax to government.
2. Production Sector This sector engaged in the production of goods and services. This sector makes payments tor factor services to households, taxes to the government, imports of the materials.
3. Government Sector This sector engaged in such activities which are related to taxation and subsidies.