New Economic Policies: Liberalization, Privatization, Globalization
New Economic Policies: Liberalization, Privatization, Globalization
PRIVATIZATION, GLOBALIZATION
NEW
ECONOMIC
POLICY
objectives
of
New
Economic
Policy
1991
From the Indian point of view, it is very difficult to say at this stage
when the process ofeconomic liberalization taken up by the govt. of
India in 1990s has realiy brought big economic gains to India gains
to India. The process has no doubt brought some benefits through
suffers fromsome deficiencies.
The Gains
The liberalization process has helped the free movement of goods
and services it has led tobetter industrial performances. Industrial
organizations have now become more efficient andmarket
responsive. Countrys exports are on the increase. Sectors such as
information technology and computer soft ware here registered
tremendous progress.
The Deficiencies
Liberalization process has its deficiencies also. The economic
reforms including liberalization were introduced all on a sudden and
proper background was not created to take theirfull advantage and
to face their consequences.
LIBERALIZATION IN INDIA
There are at least two striking features of main stream analysis of
the economic reforms programme in India since 1991. The first
which is evident not only in official govt. publications particularly
English language financial press is the generally un-supported far by
and large havebeen successful so both in achieving the medium
term goals of structural adjustment and in preparing to economy for
intake off in the new globalised environment. The important
charecteristics of the new policy may be described and explained
under thefollowing four heads liberalization; Privatization of the
public sector, Globalization and market friendly state. Liberalization
is the thrust of the policy is the freedom for the entrepreneur. The
newpolicy permits foreign direct investment to a large extent and in
a larger number of Industries then before.
PRIVATIZATION
Disadvantages of Globalization
o Globalization
discourages
domestic
industry
and
business: with sophistication in technologies and large
scale production felicities of other countries domestic
trade and industries is hit.
o Problem on the labor front: the process of Globalization
needs to job lay offs and exploitation of human
recourses. This is especially applicable to under
developed countries.
o Widening rich and poor divide: the un employment and
decline of in income level in lowerstrata of society widen
the gap between the rich and poor more and more.
o Transfer of national recourses: the developed countries
tend to establish factories in under developed countries
may lead to commercial exploitation .
CONCLUSION
Today Globalization is being challenged around the world.
In effects of globalization, inIndia, to the path of
developmental at a more rapid rate than ever before. It is
true that Globalization brings in its wake great enquiry,
mass impoverishment and misery. It is almostirreversibly
widens the gap between the developed and the
developing nations. What we learnfrom this process of
Globalization is that it is more harmful for the developing
and the under developing countries. The choice for the
devolving countries like India lies not in total
globalintegration, but less of global integration and more
of self relines and self sustenance with anemphasis on
indigenous and traditional production and knowledge
system.
REFERENCES:
1. B sudhakara Reddy, Economics Reforms in
India and China, sage publication, new
delhi,2008
2. Biplab
Dasgupta,
Globalization,
publications, new delhi, 2005
sage