The effects of globalization are far-reaching. It affects us all but affects us differently. Explain.
OR
Explain the economic policy of liberalization.
Globalization is a process of economic, social, political, cultural and technological changes that helps to increase the interdependence, interaction, and integration among the people and economic factors among different countries.
Globalization can affect different people differently. For example, fruits and vegetables are being produced all over the world and are flooding the market. But only the richer section of the society can purchase them. The farmers also have to face increasing competition from international companies. It increases the gap between the rich and the poor sections of the society.
OR
Liberalization refers to the process where the state reduces the control on the economic activities and the market forces are given prime importance. The economic policy of liberalization is explained below:
a. After Independence, the Indian government had put many laws to ensure that the market of India and the indigenous businesses are protected from the competition of the world.
b. Liberalization meant that all such restrictions they removed.
c. In 1991, the sectors of the economy including agriculture, industry, trade, foreign sector, technology, etc Were liberalized.
d. It involved taking loans from the International Financial Institutions such as the International Monetary Fund.
e. It was assumed that Global integration would be beneficial to the Indian economy.
f. The government agrees to follow certain economic measures along with the policy of structural adjustment.
Couldn't generate an explanation.
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