{"id":4511,"date":"2019-09-20T23:50:06","date_gmt":"2019-09-20T18:20:06","guid":{"rendered":"https:\/\/triumphias.com\/blog\/?p=4511"},"modified":"2019-09-20T23:50:06","modified_gmt":"2019-09-20T18:20:06","slug":"india-5trillion-economy-by-2024","status":"publish","type":"post","link":"https:\/\/triumphias.com\/blog\/india-5trillion-economy-by-2024\/","title":{"rendered":"INDIA $5TRILLION ECONOMY BY 2024"},"content":{"rendered":"<h3>Relevance: Mains: G.S paper III: Indian Economy<\/h3>\n<p><strong>Adverse impact of economic growth on different sectors:<\/strong><\/p>\n<p>The economic growth experience in India in recent decades has shown that growth has had an adverse impact on developmental goals such as education, health and overall human development\/human capital formation, employment for all and environmentally sustainable development.<\/p>\n<p>For example,\u00a01% of the wealthiest in India increased their share in wealth from 40% in 2010 to more than 60% in the last five years.\u00a0 if we proceed on the same growth path, the top 10% will take away the lion\u2019s share of the $5-trillion incomes when we reach the target of $5-trillion economy.<\/p>\n<p><strong>Industries:<\/strong><\/p>\n<ul>\n<li>industries are declining rapidly\u2014 examples are\u00a0 automobile ,diamond cutting and polishing, textiles and garments, and several Micro, Small and Medium Enterprises (MSME).<\/li>\n<\/ul>\n<p><strong>Agriculture:<\/strong><\/p>\n<ul>\n<li>Agriculture is in crisis on account of rising costs of inputs and low prices of produces, and low public investments in this sector.<\/li>\n<\/ul>\n<p><strong>Education<\/strong><\/p>\n<ul>\n<li>The literacy rate has grown very slowly and according to the United Nations, India\u2019s literacy was 71.1% in 2015. India is now far behind many African countries such as Rwanda, Morocco and Congo in terms of literacy.<\/li>\n<li>The quality of education is far from satisfactory<\/li>\n<li>Against the norm of 6% of GDP, the government spend is around 4% of GDP on education.<\/li>\n<\/ul>\n<p><strong>Employment:<\/strong><\/p>\n<ul>\n<li>The rate of growth of employment has declined with increasing economic growth causing jobless growth<\/li>\n<li>With rising labour force, India will soon experience demographic disaster rather than demographic dividend.<\/li>\n<\/ul>\n<p><strong>\u00a0<\/strong><strong>Health:<\/strong><\/p>\n<ul>\n<li>Decline in malnutrition, particularly among women and children is very slow;<\/li>\n<li>against the norm of 3% of GDP, the government spends around 1.5% of GDP on health<\/li>\n<\/ul>\n<p>As a consequence of all these developments, there is a crash in the aggregate demand in the economy.<\/p>\n<p><strong>\u00a0<\/strong><strong>WHAT WE NEED<\/strong><\/p>\n<ul>\n<li>There is an urgent need for a quantum jump in public expenditure on education in order to fill wide gaps in infrastructure, training and retraining of teachers and to ensure a strong follow up on the quality of education<\/li>\n<li>It would be very difficult to raise the rate of growth to reach $5 trillion in 2024 unless we focus on human capital formation and address the real reasons for the recent slowdown.<\/li>\n<li>Government must increase public expenditure in investing in agriculture \u2014 in infrastructure, inputs, extension, marketing and storage and training \u2014 and in providing profitable prices to farmers.<\/li>\n<li>It should also raise funds for the Mahatma Gandhi National Rural Employment Guarantee Act<\/li>\n<li>It should raise public employment by filling all vacant sanctioned posts in the Central and State governments, which would be around 2.5 million jobs.<\/li>\n<li>The government should also regularise contract, casual and \u201chonorary\u201d jobs and make them regular jobs<\/li>\n<li>The government should focus on promoting labour intensive sectors such as gems and jewellery, textiles and garments and leather goods.<\/li>\n<\/ul>\n<p><strong>SOME FACTS<\/strong><\/p>\n<ul>\n<li>Demographic dividend, as defined by the United Nations Population Fund (UNFPA) means, \u201cthe economic growth potential that can result from shifts in a population\u2019s age structure, mainly when the share of the working-age population (15 to 64) is larger than the non-working-age share of the population (14 and younger, and 65 and older)\u201d.<\/li>\n<li>In other words, it is \u201ca boost in economic productivity that occurs when there are growing numbers of people in the workforce relative to the number of dependents.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Relevance: Mains: G.S paper III: Indian Economy Adverse impact of economic growth on different sectors: The economic growth experience in<\/p>\n","protected":false},"author":1,"featured_media":3299,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[123,42,43],"tags":[392],"class_list":["post-4511","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-current-affairs","category-general-studies-iii-technology-economic-development-bio-diversity-environment-security-and-disaster-management","category-indian-economy","tag-union-public-service-commission-upsc"],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/posts\/4511","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/comments?post=4511"}],"version-history":[{"count":1,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/posts\/4511\/revisions"}],"predecessor-version":[{"id":4512,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/posts\/4511\/revisions\/4512"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/media\/3299"}],"wp:attachment":[{"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/media?parent=4511"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/categories?post=4511"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/triumphias.com\/blog\/wp-json\/wp\/v2\/tags?post=4511"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}