Question

can you please explaint in detail about merits and demerits of liberalisation

Answer 1

Advantages/merit of Liberalization :-

1. Increase in foreign investment.

2. Increase in efficiency of domestic firms.

3. Rise in the rate of economic growth.

4. Control of price.

Disadvantages/demerits of Liberalization :-

1. Increase in unemployment.

2. Loss to domestic unit.

3. Increased dependence on foreign nation.

4. Unbalanced development of sectors.