Measures taken for globalisation of the Indian economy are :
(i) Rupee was devalued by 20% in July 1990-91. The devaluation was made to encourage
exports and discourage imports.

(ii) The government offered partial convertibility j of rupee through the budget of 1992-93. Full convertibility was offered in 1993-94. Convertibility of rupee was aimed at encouraging
export earnings.
(iii) The government announced foreign trade policy for a period of five years i.e., 1992-97. The sole purpose of this policy was liberalisation.
(iv) In order to build up our competitive strength, customs and tariff policies were modified to promote international trade.

Globalisation:

It means integration of the economy of the'”country with the world economy. Globalisation encourages foreign trade and private and institutional foreign investment.

Outsourcing means contracting out non-core and routine activities to outside agencies with a view to benefitting from their expertise, experience and efficiency. For instance, a firm may outsource the advertising activity to an advertising agency instead of setting up its own advertising department. Such other related services may also be outsourced for better quality and economy.

In order to encourage private sector, following measures have been adopted :
The government through its economic policy reduced the number of industries from public sector from 17 to 4.
(ii) It has now been planned to reduce the share of public sector investment to 45%. It increases the share of private sector to 55%.
(iii) Financial corporations cannot insist the industries for conversion of their loans into equity shares.
(iv) It has now been decided to increase the participation of general public and workers and selling them the shares of public enterprises

Liberalisation
Liberalisation of the economy means its freedom from direct or physical controls imposed by the government.

Economic Reforms Under Liberalisation
(i) Industrial Sector Reforms

• Abolition of industrial licensing.
• De-reservation of production areas.
• Expansion of production capacity.
• Freedom to import goods.

(ii) Financial Sector Reforms
Liberalisation implied a substantial shift in the role of the RBI from a regulator to a facilitator of the financial sector.
(iii) Fiscal Reforms Fiscal reforms relate to revenue and expenditure of the government. Tax reforms are the principal component of fiscal reforms. Broadly taxes are classified

• Direct Taxes and
• Indirect Taxes

(iv) External Sector Reforms It include Foreign exchange reforms and Foreign trade policy reforms.

During the process of Industrialisation, public sector has been given high priority, the development of heavy and capital bases industries was in hands of public sector but the functioning of public enterprises has suffered due to red tapism and corruption due to which public sector started incurring huge losses and this has became a reason for adaption of economic reforms and privatisation has been introduced to overcome such loss.

During the process of Industrialisation, public sector has been given high priority, the development of heavy and capital bases industries was in hands of public sector but the functioning of public enterprises has suffered due to red tapism and corruption due to which public sector started incurring huge losses and this has became a reason for adaption of economic reforms and privatisation has been introduced to overcome such loss.

Balance of payments is a statement of the inflows of foreign exchange into the country and outflows of foreign exchange out of the country.

Adverse Balance of payments implies that the outflows of the foreign exchange exceed the inflows. This situation arises when imports exceed the exports. It is a very detrimental situation for the country as external debts have to be raised to bridge the gap between the inflows and the outflows.

True

The sale or purchase of government securities by the Central Bank in open market is termed as open market operations. Open Market Operations refer to the buying and selling of securities either to the public or to the commercial banks in an open market.
To reduce credit, the government securities are sold by the Central Bank. It reduces the supply of money in the hands of commercial banks and common public. On the other hand, to increase the credit, the Central Bank purchases the securities from public which releases money in the market. In this way, the Central Bank uses open market operations as a method of credit control.

The rate of investment and choice of technology determine the growth rate of employment. The emphasis on growth of the economy has resulted in jobless growth. Growth of the economy after the reforms which put emphasis on industrialisation has failed to absorb such a large addition to labour force

Planning can be defined as “thinking in advance what is to be done, when it is to be done, how it is to be done and by whom it should be done.” According to Fayol, “Planning is chalking out plan of action, i.e., the result envisaged in the line of action to be followed, the stages to go through the methods to use.”

1) Net exports refers to the difference between exports and imports. While net factor income from abroad is the difference between factor income from abroad and factor income to abroad.
2) Net exports is a domestic concept while NFIA is a national concept.
3) Net exports includes non- factor services while NFIA includes only factor services

<a data-ved="2ahUKEwjvo9yQx_3tAhV78HMBHUOdDmsQ9QF6BAgSEAE" href="https://www.google.com/search?q=Relationship+between+environment+and+sustainable+development&bih=521&biw=1280&rlz=1C1CHBD_enIN888IN888&hl=en-GB&sxsrf=ALeKk0086spSukphhBCaZcvsBA4blVQ1Hg:1609601037845&tbm=isch&source=iu&ictx=1&fir=aYtJqMXL51oDsM%252Cf8om2Z42DKnKjM%252C_&vet=1&usg=AI4_-kTgKHx-1_jlDN2Cmg0QHs0WD-TU0w&sa=X&ved=2ahUKEwjvo9yQx_3tAhV78HMBHUOdDmsQ9QF6BAgSEAE#imgrc=aYtJqMXL51oDsM"></a>

“Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” Sustainable development is based on the three pillars of sustainability: economic, environmental and social sustainability. The goal of sustainable development is to meet the needs of today, without compromising the needs of tomorrow. This means we cannot continue using current levels of resources as this will not leave enough for future generations. Stabilising and reducing carbon emissions is key to living within environmental limits.

Monopolistic and Restrictive Trade Practice under MRTP Act, 1969. The Monopolistic and Restrictive Trade Practices Act, 1969, was enacted. To ensure that the operation of the economic system does not result in the concentration of economic power in hands of few, To provide for the control of monopolies, andTo prohibit monopolistic and restrictive trade practices. The MRTP Act extends to the whole of India except Jammu and Kashmir. Unless the Central Government otherwise directs, this act shall not apply to: a) Any undertaking owned or controlled by the Government Company, b) Any undertaking owned or controlled by the Government, c) Any undertaking owned or controlled by a corporation (not being a company established by or under any Central, Provincial or State Act, d) Any trade union or other association of workmen or employees formed for their own reasonable protection as such workmen or employees, e) Any undertaking engaged in an industry, the management of which has been taken over by any person or body of persons under powers by the Central Government, f) Any undertaking owned by a co-operative society formed and registered under any Central, Provincial or state Act, g)Any financial institution.

1. Differences between autonomous investment and induced investment

   <th scope="col">SR. No.</th> <th scope="col" style="text-align: center;">Basis</th> <th scope="col" style="text-align: center;">Autonomous Investment</th> <th scope="col" style="text-align: center;">Induced Investment</th>

   1.	Motive	To promote social welfare, Autonomous Investment is done	Induced Investment is driven by profit motive.
   2.	Sector	It is generally undertaken by the government sector.	It is generally done by the private sector.
   3.	Income elasticity	It is not affected by the changes in income level.	It is affected by the change in the income level.

2. Calculation of equilibrium level of income:

Given,

1. Autonomous consumption = Rs 100
2. Marginal Propensity to Consume = 0.75
3. Investment = Rs 5,000

Since at the equilibrium level, Saving = Investment

Income (Y) = Consumption (C) + Investment (I),

Also, Consumption Expenditure {tex}(C) = \overline { C } + b Y{/tex}
Where, {tex}(\overline C ){/tex} = Autonomous consumption, b = Marginal Propensity to Consume, and Y = Income
So, from the above two relations, we get
{tex}\mathrm { Y } = \overline { \mathrm { C } } + \mathrm { b } \mathrm { Y } + \mathrm { I }{/tex}
Y = 100 + 0.75Y + 5000
Y - 0.75Y = 5100
0.25Y = 5100
{tex}Y = \frac { 5,100 } { 0.25 } = Rs \ 20,400{/tex}
{tex}\therefore{/tex} The equilibrium level of income = Rs 20,400

A group of farmers form a co-operative society by pooling their resources voluntarily for more efficient and profitable farming. 
Co-operative societies help farmers, to procure all important inputs of farming, sell the products at the most favourable terms and help in processing of quality products at cheaper rates.

{tex}1 \over MPS{/tex}

The Permanent Settlement of Bengal was brought into effect by the East India Company headed by the Governor-General Lord Cornwallis in 1793. This was basically an agreement between the company and the Zamindars to fix the land revenue. First enacted in Bengal, Bihar and Odisha, this was later followed in northern Madras Presidency and the district of Varanasi. Cornwallis thought of this system inspired by the prevailing system of land revenue in England where the landlords were the permanent masters of their holdings and they collected revenue from the peasants and looked after their interests. He envisaged the creation of a hereditary class of landlords in India. This system was also called the Zamindari System.

Problems of Human Capital Formation

• Growth in Population: The rapid rise of the population can influence the grade of human capital formation mostly in developing countries. It degrades the per capita availability of the present facility. A large population involves extra investments.
• Long Process: The method applied for human development is a long term process because skill enhancement requires extra time. Therefore, the process becomes very normally slow.
• Gender Inequality and High Regional: These two factors the human development skill
• Insufficient On-Job training: In the Agriculture sector, on-job training to handle advanced equipment are not provided to the worker.
• High Poverty Level: In India, a large portion of the population is below the poverty line, therefore, they do not have easy access to primary health and education.

The total stock of money circulating in an economy is the money supply. The circulating money involves the currency, printed notes, money in the deposit accounts and in the form of other liquid assets. The supply of money is determined by the Central Bank through 'monetary policy; the economy then has to make do with that set amount of money. Since the economy does not influence the quantity of money, money supply is considered perfectly vertical (on models).

Analysis of direction of trade reflects on regional direction of country’s foreign trade from where trade is originated. It would be quite important to analyse the direction of India’s foreign trade and the transformation that has taken place in details. In the pre-independence period, the direction of India’s foreign trade was determined by the colonial spirit prevailing between India and Britain.

Accordingly, India’s trade was mostly connected with Britain or its colonies or allies. After independence, this trend was continued for some years. As in 1950-51, U.K. and U.S.A. contributed about 42 per cent of India’s total export earning and about 39 per cent of India’s import requirement was met by these two countries.

Foreign trade in India includes all imports and exports to and from India. At the level of Central Government it is administered by the Ministry of Commerce and Industry. Foreign trade accounted for 48.8% of India's GDP in 2015.

Before 1991, bribes were needed for industrial licenses, import licenses, foreign exchange allotments, credit allotments, and much else. But economic reform ended industrial and import licensing, and foreign exchange became freely available. The New Industrial Policy established in 1991 sought substantially to deregulate industry so as to promote growth of a more efficient and competitive industrial economy. The central elements of industrial policy reforms were as follows: Industrial licensing was abolished for all projects except in 18 industries.

The New Industrial Policy established in 1991 sought substantially to deregulate industry so as to promote growth of a more efficient and competitive industrial economy. The central elements of industrial policy reforms were as follows: Industrial licensing was abolished for all projects except in 18 industries.

INDUSTRIAL POLICY RESOLUTION (IPR) 1956

Industrial policy is an important instrument through which the govt. regulates the industrial activities in an economy.

The 1956 resolution laid down the following objectives of industrial policy.
(a) To accelerate the growth of industrialization.
(b) To develop heavy industries.
(c) To expand public sector.
(d) To reduce disparities in income and wealth.
(e) To prevent monopolies and concentration of wealth and income in the hands of a small member of individuals.

By inflation in ordinary language, we mean a process of rising prices. Inflation is a situation of persistent and appreciable rise in prices, leading to fall in purchasing power of money. A chief measure of price inflation is the inflation rate. It is the annualised percentage change in a general price index over time.

Indicators of Inflation

1. Index Numbers of Prices

• Wholesale Price Index(WPI)
• Consumer Price Index(CPI)

2. Gross Domestic Product(GDP) Deflator

Types of Inflation

1. Demand-pull Inflation
2. Cost-push inflation