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Gradual Growth: India’s Development Trajectory

Gradual Growth: India’s Development Trajectory. Sara Hsu. Development Influences. India and geography Independence from Britain in 1947 Nehruvian Socialism. Reform History. 1947 to 1980 Early growth Droughts and crisis Focus on poverty reduction “License raj” “Hindu rate of growth”.

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Gradual Growth: India’s Development Trajectory

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  1. Gradual Growth: India’s Development Trajectory Sara Hsu

  2. Development Influences India and geography Independence from Britain in 1947 Nehruvian Socialism

  3. Reform History • 1947 to 1980 • Early growth • Droughts and crisis • Focus on poverty reduction • “License raj” • “Hindu rate of growth”

  4. Reform History • 1980 to 1991 • Improvements in industrial policy • Industrial stagnation in 1988 • Balance of payments crisis

  5. Reform History • 1991 through 2000 • IMF policies • New Economic Policy • Reform of banking system • Building up to Y2K

  6. Reform History 2000 to present Aftermath of Y2K Firm relocation to India

  7. Rural Reforms Land reform since Independence Goal: Reduction of poverty Green Revolution Characterization of villages

  8. Case of Andhra Pradesh Policy campaigns for reform Fast GDP growth Hyderabad

  9. Political Economy of Reform Nehru Ghandi Rao

  10. Data and Patterns of Growth

  11. India’s Sector Value Added (% of GDP)

  12. Bottom Line India’s reform process really began in 1991 as a result of a balance of payments crisis. Reform opened up trade and made it easier to start a business. Most growth in India is in the skilled services (IT) sector.

  13. Did You Know? “India Shining” is the slogan used starting in 2004 to promote India internationally. The government spent over USD $20 million on television and newspaper ads using this slogan.

  14. Fin Questions?

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