Economy of India - Essay

economy of india
The economy of India is the eleventh largest[->0] in the world by nominal GDP[->1] and the third largest[->2] by purchasing power parity[->3] (PPP).[1] The country is one of the G-20 major economies[->4] and a member of BRICS[->5]. In 2011, the country's per capita income[->6] stood at $3,694[->7] IMF[->8], 129th in the world, thus making a lower-middle income economy.[10]
After the independence-era Indian economy (before and a little after 1947) was inspired by the Soviet model[->9] of economic development, with a large public sector, high import duties combined with interventionist policies[->10], leading to massive inefficiencies and widespread corruption. However, later on India adopted free market principles and liberalized its economy to international trade under the guidance of Manmohan Singh[->11], who then was the Finance Minister of India[->12] under the leadership of P.V.Narasimha Rao[->13] the then Prime Minister[->14]. Following these strong economic reforms, the country's economic growth progressed at a rapid pace with very high rates of growth and large increases in the incomes of people.[11]
India recorded the highest growth rates in the mid-2000s, and is one of the fastest-growing economies in the world. The growth was led primarily due to a huge increase in the size of the middle class consumer, a large labor force[->15] and considerable foreign investments. India is the nineteenth largest exporter[->16] and tenth largest importer[->17] in the world. Economic growth rate stood at around 6.5% for the 2011-12 fiscal year[->18] and has been sharply declining.[2]
Overview
A combination of protectionist[->19], import-substitution[->20], and Fabian socialist[->21]-inspired policies governed India for sometime after the end of British occupation. The economy was then characterised by extensive regulation, protectionism[->22], public ownership[->23], pervasive corruption and slow growth.[12]HYPERLINK   \l "cite_note-nyt-12"[13] Since...