What is liberalisation ? Describe any four effects of liberaliaaton on theindian economy?
Answers
Here is the answer
When goverment remove certain barriers or restrictions from international trade which had been set up in past due to any geographical,islolative reason so that the trade would flourish withput any constraints.such process is known as liberalisation.
Effects:
1.international trade organisation bring new modern inputs and machinery with them and provide modern gadgets to the consumers so in order to compete with them ..local producers also installed modern inputs and modern machineries..
2.international trade brings foreign exchange which them which ultimately improves the economy of the state.
3.with the arrival of MNC'S ( MULTI NATIONAL CORPERATIONS) new employement oppurtunities have been open up for the unemployed youth..which eventually led to higher income levels and technicality skill growth among youth.
4.Negative impact= various local industries have been closed up due to primitive and backward inputs and lower productivity ...our country is getting fully depended on MNC'S for inter trade conditions by ignoring local industries which belongs to our own nation..