Explain liberalization. What has been India's policy regarding this since independence?
Answers
Explanation:
The liberalisation was aimed at ending the licence-permit raj by decreasing the government intervention in the business, thereby pushing economic growth through reforms. The policy opened up the country to global economy. It discouraged public sector monopoly and paved the way for competition in the market.
The policy, which met with wide opposition from within the Congress and even the domestic industry, was seen as the only way out for India after the balance of payments crisis that brought the country to its knees.
However, after the Congress government under PV Narasimha Rao managed to overcome all the opposition and push through the reforms, successive governments too devised similar policies to slowly and surely shed a Nehruvian legacy.