Question

"Liberalisation of foreign trade and foreign investment policy have shown far reaching changes in India." Support the statement with suitable arguments.

Answer 1

1. Foreign direct investment has significantly increased as a result of liberalisation. After India adopted the policy of liberalisation, many MNCs entered the Indian market.
2. The public sector's monopoly has been restrained with the introduction of liberalisation.
3. A game-changing outcome of liberalisation was an increase in employment opportunities.
4. Employment opportunities increased as a result of increased investment in the Indian market. The nation's economic development increased as new industries, such as information technology and communication, developed.
5. With the entry of MNCs, the Indian market became more competitive. As a result, technological advancement brought on by the use of foreign technology in industrial applications was inevitable.
6. The liberalisation, privatisation, and globalisation policies were implemented in India. Indian consumers can choose from a wide range of lower-priced products on the market. They now live much more comfortably than was previously possible as a result.