The aim of LPG model of the government was to promote industrialization and economic growth. Explain.
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Answer:
The significant problems faced by India post independence followed by the poor economic growth conditions, created a phase for the government to follow the LPG Model. LPG stands for Liberalization, Privatization and Globalization
LPG stands for Liberalization, Privatization, and Globalisation. LPG model is very important to promote the Indian economy and the growth of Industrialization.
• The Indian economy was not good after we got freedom. So the Indian government decided to follow the LPG model for their economic growth.
• Liberalization gives a way to enter economics into the market and help to establish their investment in the country.
• After liberalization, India became the 7th largest economies in the world.
• Privatization means when the control of economies is shifted from the public to private sectors.
• Privatization helps to develop the Indian economy faster than previous. This situation leads to India become the fastest developing country in the world.
• Globalization is the process of our economy established and integrated through a global network.
• That means the Indian economy and industrialization spread all over the world.
• These economic policies had influenced the overall growth of the economy and the industrialization of our country in a significant manner.