Economic Development in India - 7323 Words

ECONOMIC DEVELOPMENT IN INDIA: THE ROLE OF INDIVIDUAL ENTERPRISE (AND ENTREPRENEURIAL SPIRIT) Anil K. Lal* and Ronald W. Clement** The Indian economy provides a revealing contrast between how individuals react under a government-controlled environment and how they respond to a market-based environment. Evidence suggests that recent market reforms that encouraged individual enterprise have led to higher economic growth in that country. India can generate additional economic growth by fostering entrepreneurial activity within its borders. To pursue further the entrepreneurial approach to economic growth, India must now provide opportunities for (1) education directed specifically at entrepreneurial skills, (2) financing of entrepreneurial†¦show more content†¦Based on the successful experience of the former Soviet Union, many economists and policymakers concluded that, particularly in a poor country, planning was essential for the efficient allocation of an economy’s resources (Panagariya, 1994, p. 194). 1 The history of U.S. business has shown how the pursuit of self-interest by individual economic agents has led to benefits for the larger society. Consider the well-known example of Henry Ford’s introduction of assembly line production. This technological advancement led to a significant increase in productivity at Ford Motor Company. Indeed, despite paying higher wages to his workers, Ford could still produce automobiles at a much lower cost and pass on part of that lower cost to consumers in terms of lower prices. 82 Asia-Pacific Development Journal Vol. 12, No. 2, December 2005 The governments in these newly independent nations assumed a significant role in economic development. They sought to quickly and substantially raise the standard of living through directed and controlled economic development. Apart from everything else, these developing countries invested heavily in education to promote literacy and to ensure an adequate supply of technical manpower to meet their growing needs. Further, these previously colonized nations did not want toShow MoreRelatedThe Socio Economic Development Of India1918 Words   |  8 PagesGupta (1990) examined, amongst other things, socio-economic determinants of child mortality in rural Punjab. For the purpose of her study she collected the required data by surveying eleven villages from Ludhiana district of Punjab. Her study shows that education improves mother’s child-care practices, her domestic management of ill-health, efforts at preventive care and use of modern medical services helping ultimately to reduce child mortality. Mathur and Mamgain (2002) have examined the impactRead MoreIndia s Economic Growth Rate And Economic Development832 Words   |  4 PagesIndia’s political system allows the economic shift from a protectionist stand point to an open market source. India has recorded a growth rate of 7.4%, an increase from its previous value of 7.0%. The economic performance can be augmented through its policies, in specific monetary policy. Interest rates were cut to 6.75%. This reduction meant that borrowing and lending money was cheaper, having a positive effect on the disposable income of individuals. India’s Real GDP is 7.4%, considerably higherRead MoreRole of Commercial Bank in Economic Development in India1737 Words   |  7 PagesINTRODUCTION:- Every country needs the services of financial institutions for accelerating the pace of development. Commercial banks have played a critical role in the economic development of a country. Now a day’s commercial banks are important not just from the point of view of economic growth, but also financial stability. In emerging economies, commercial banks are special for three important reasons. First, they take a leading role in developing other financial intermediariesRead MoreEconomic Growth And Development Of The Asian Nics, India, China3035 Words   |  13 PagesUnited Nations and its subsidiaries, with the one central point of discussion – economic growth and development of the â€Å"poor† countries. The past few decades have witnessed major ups and downs in the economies. While some countries have experienced shrinking incomes (Zambian per capita income figures in early 1990’s as compared to 1960s (Easterly, 2002, p.42)), some have expe rienced a substantial increase (East Asian NICs, India, China, etc). The debates on why some countries are poor while some are significantlyRead MoreIndian Foreign Policies : India s Free Global Market And Predictability Of More Economic Development799 Words   |  4 Pagesand developed nations like India and China to be part of this group as a guest. Opens new vision for these nations to get benefitted in its annual meeting. When these highly industrialized nations are discussing multifaceted problems like Terrorism, Environment, women empowerment, economic development, global economic balance etc. Indian foreign policies reflect its agenda for equal distance with multipolar world representing worlds superpowers. Which has indebted India s free global market andRead MorePest Analysis for India1088 Words   |  5 PagesThe Rise of India India, one of four great ancient civilizations, has a splendid history, and it also has an important influence and effect on the development of world civilization. India’s societal development was lost during the period of British colonialism. However this indomitable nation is now rapidly developing. Since the 21st century when globalization swept the world, India has gotten the chance to move. India is rising. The paper will use PEST political environment, economic environmentRead MoreUrbanization in India1258 Words   |  5 Pagesurbanization in India, I came across a plethora of scholarly articles that suggested issues with India’s limiting urbanization policies that jeopardize its potential for growth and employment. If India’s physical expansion is left unattended, this will deplete its available resources, and lead to economic, social, and environmental challenges (Hardoy, Diana, Satterthwaite, 2001). Although India’s physical expansion has alread y led to many such challenges, the optimism of economic development in its citiesRead MoreRole Of Women And Women s Empowerment1093 Words   |  5 Pagesempowerment in economic growth in India Dr. kirti shrivas (Asst. professor)Dept. of Commerce, govt. college abhanpur Abstract :Women’s empowerment defined as improving the ability of women to access the constituents of development in particular health, education, earning opportunities, rights and political participations. Women empowerment in India is dependent on many different variables like education status, social status, geographical status and age. This paper is focused to economic participationsRead MoreBrics Case Study1020 Words   |  5 Pagesstands for Brazil, Russia, India and China, originated in a Goldman Sachs paper – Building Better Global Economic BRICs – as part of an economic modelling exercise to forecast global economic trends over the next half-century.† BRICS – breaking it down is a combination of the first letters of its members: - Brazil; Russia, India, China and South Africa. At the beginning, in 2001 only four of categorized as developing countries started BRIC: Brazil, Russia; India and China, at that time wereRead MoreIs India’s Inclusive Growth a ‘Chimera’ ? Essay646 Words   |  3 Pagesgrowth pursued by the Congress-led United Progressive Alliance (UPA) has helped mitigate the widening social and economic disparities brought about by rapid economic growth.† – Dr. Manmohan Singh on ‘Inclusive growth’. ‘India shining’ has been the political slogan for India since the turn of the new millennium, and rapid economic growth over the last decade enunciated the saga of India rising. However, our â€Å"tryst with destiny† has been a mysterious journey of a struggle with poverty and illiteracy