Indian economy

Indian Economy

 Indian economy is predominantly an under

developed economy . Today India is consider as the
developing country in which Agriculture is the back
bone of Indian economy. 60% of India’s population
are on the below poverty line. Mineral resources are
not fully utilized. Majority of the people of India are
leading a poverty line. Indian economic is affected by
it.
 Features of Indian Economy

 Low per capita income

 Heavy Population Pressure
 Existence of chronic unemployment and under-
employment
 Pre-dominance of Agriculture
 Underutilized Natural resources
 Low Human Development Index
 Lack of infrastructure facility
 Capital deficiency.
 …

 India has a mixed economy

 An Emerging Market
 Fast Growing Economy
 Fast growing Service Sector
 Unequal distribution of Income economic disparities
 Instability of price – Cost of products is not stable
 Large Domestic consumption
 Rapid growth of Urban areas
 Unequal wealth distribution
 Pursues labor intensive techniques
 Summary

 Generally an economy is considered backward if

agriculture is the main occupation of people,
population is growing at high rate, techniques of
production are backward, incidence of
unemployment and high rate of poverty.
 Primary sector of Indian Economy is agriculture and
related sectors.
 Secondary section of Indian Economy is related to
industry, manufacturing, electricity etc.
 If we observe Indian economy, we may conclude
that Indian economy is under developed. But, if we
observe the growth in national income, per-capita
income, occupational structure, capital base, etc. we
may say that India is a developing economy.
 India follows mixed economy, where in the means of
production are jointly owned by Private and Public
sector simultaneously.