CBSE Class 12 Sociology Solved Question Paper 2013

Discuss India's economic policy of liberalization.

The term liberalisation refers to a range of policy decisions that the Indian state took since 1991 to open up the Indian economy to the world market.
The state after independence had put in place a large number of laws that ensured that the Indian market and Indian indigenous business were protected from competition of the wider world.
Liberalisation of the economy meant the steady removal of the rules that regulated Indian trade and finance regulations. These measures are also described as economic reforms.
The process of liberalisation also involved the taking of loans from international institutions such as the International Monetary Fund (IMF). These loans are given on certain conditions.
The Indian economy has witnessed a series of reforms in all major sectors of the economy like: agriculture, industry, trade, foreign investment and technology,
public sector, financial institutions etc.
There has been reduction in tariffs and import duties so that foreign goods can be imported easily and allowing easier access for foreign companies to set up industries in India.

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