Important question of globalisation in Indian economy
Answers
Explanation:
Globalization:
Globalization is the process of connecting one country economy with the world economy. As a result of which flow of goods, services, technology and labour is easily available in the world.
Following improvements have taken place due to globalization:
(1) Obstacles of trade between two nations have been removed.
(2) Such a condition has been created so that the capital exchange can easily take place between two nations.
(3) Obstacles in the way of exchange of technology have been removed.
(4) Free exchange of labour may be there among different nations of the world.
Effects of globalization:
Mixed effects of Globalization have been there on Indian economy. Many advantages and disadvantages are there which are as follows:
Advantages:
(1) Foreign Direct Investment (FDI) is encouraged due to globalization.
(2) Goods produced in the developed countries can easily be obtained due to Globalization.
(3) Developing countries like India can withstand competition at international level due to globalization.
Disadvantages:
Disadvantages:(1) Expected success has not been attained in finding the solutions to the problems of poverty and unemployment due to globalization.
(2) Developing countries have not acquired proper benefits of increase in exports, which they should have acquired.
(3) Large scale industries have acquired more benefit while small scale industries have obtained less benefits.