Q.Write a short note on: Globalisation

Liberalisation is the process of removing or reducing government controls, licences and restrictions on business and trade so that markets and the private sector can function more freely; it was a central feature of India's 1991 reforms.

This is a 2-mark short note in the AP Intermediate 2nd-year Economics reforms (LPG) unit.

Liberalisation refers to relaxing or removing the many controls and regulations that the government had placed on economic activity. In India, as part of the 1991 reforms, liberalisation meant abolishing industrial licensing for most industries, reducing restrictions on the expansion of firms (dilution of the MRTP Act), easing controls on imports, exports and foreign investment, and freeing interest rates and financial markets. Its aim was to let market forces and the private sector operate more freely, increase competition and eff …

Globalisation is the integration of a nation's economy with the world economy through freer flows of goods, services, capital, technology and labour. India adopted it in 1991 by lowering trade barriers and welcoming foreign investment.

This is a 2-mark short note in AP Intermediate 2nd year Economics, part of the 1991 LPG reforms, treated in line with the NCERT/CBSE curriculum.

Meaning. Globalisation refers to the process of integrating the domestic economy with the economies of other countries of the world. It involves the free flow of goods and services (trade), capital and investment, technology, information and, to some extent, labour across national boundaries, so that the country becomes part of a single interdependent world economy. As part of its New Economic Policy of 1991, India embraced globalisation by reducing import duties and trade restrictions, allowing and encouraging foreign direct investment and foreign technology, making the rupee convertible on the current account, and participating activ …