Effect of Globalization on India's Economic Growth
http://www.researchindia.org/EffectsofGlobalizationonIndia.doc
Kishore G. Kulkarni, Ph.D.,
Professor of Economics,
And Editor, Indian Journal of Economics and Business (visit: www.ijeb.com)
Metropolitan State College of Denver,
Campus Box 77. P. O. Box 173362,
Denver, CO 80217-3362, USA.
First draft of this paper was presented in the Oxford Roundtable Conference held in Oxford University, UK, in July 2005. Author thanks School of Business, MSCD for financial assistance, and Profs. John Cochran, Alex Padilla and Steven Call for their valuable input in completing this paper.
Abstract of “Effect of Globalization on India’s Economic Growth”
The wave of globalization appeared on India’s shores only in 1991, much after China’s and some other Southeast Asian countries such as Malaysia, Singapore and Hong Kong. Moreover the intensity of opening country’s borders is much higher in other countries than in India where democratic political forces delay decision making significantly. Nonetheless the Indian economy has broken the shackles of protectionism with great vigor which has led to some positive developments. The paper is an attempt to summarize the difference between policy making before and after the realization of gains from trade. In economic terms, one can undoubtedly prove that there are benefits realized .and the Indian economy is on a smooth sail partly because of the gains form trade. Of course any economy’s real growth appears only with increased total factor productivity, greater and better use of her resources and public policy that understands and protects the private sector’s interest. India still has a long way to go but major benefits already accrued from the right policies should serve as lessons to learn.
EFFECT OF GLOBALIZATION ON INDIA’S ECONOMIC GROWTH
INTRODUCTION:
As a new participant in the globalization wave, India went through several structural and policy changes only in early 1990s, even if the awareness
Kishore G. Kulkarni, Ph.D.,
Professor of Economics,
And Editor, Indian Journal of Economics and Business (visit: www.ijeb.com)
Metropolitan State College of Denver,
Campus Box 77. P. O. Box 173362,
Denver, CO 80217-3362, USA.
First draft of this paper was presented in the Oxford Roundtable Conference held in Oxford University, UK, in July 2005. Author thanks School of Business, MSCD for financial assistance, and Profs. John Cochran, Alex Padilla and Steven Call for their valuable input in completing this paper.
Abstract of “Effect of Globalization on India’s Economic Growth”
The wave of globalization appeared on India’s shores only in 1991, much after China’s and some other Southeast Asian countries such as Malaysia, Singapore and Hong Kong. Moreover the intensity of opening country’s borders is much higher in other countries than in India where democratic political forces delay decision making significantly. Nonetheless the Indian economy has broken the shackles of protectionism with great vigor which has led to some positive developments. The paper is an attempt to summarize the difference between policy making before and after the realization of gains from trade. In economic terms, one can undoubtedly prove that there are benefits realized .and the Indian economy is on a smooth sail partly because of the gains form trade. Of course any economy’s real growth appears only with increased total factor productivity, greater and better use of her resources and public policy that understands and protects the private sector’s interest. India still has a long way to go but major benefits already accrued from the right policies should serve as lessons to learn.
EFFECT OF GLOBALIZATION ON INDIA’S ECONOMIC GROWTH
INTRODUCTION:
As a new participant in the globalization wave, India went through several structural and policy changes only in early 1990s, even if the awareness
References: Bhagwati, Jagdish, “In Defense of Globalization” Cambridge University Press, New York, 2004. Chand, Satish and Sen, Kunal, “Trade Liberalization and Productivity Growth: Evidence form Indian Manufacturing”, Review of Development Economics, Vol. 6, No. 1, 2002, pp. 120-132. Chitre, Vikas, “Global Slowdown and the Indian Economy, The Eleventh D.T. Lakdawala Memorial Trust Lecture, February 8, 2003, unpublished manuscript. Joshi, Vijay and Little IMD, “Reform on Hold”, Asian Development Review (by Asian Development Bank), Vol. 15, No.2, 1997. Krishna Pravin, and Mitra, Devashish, “Trade Liberalization, Market Discipline and Productivity Growth: New Evidence from India”, Journal of Development Economics, Vol. 56, 1998, pp. 447-462. Panagariya, Arvind, “India’s Trade Reform”, India Policy Forum, 2004, p. 9-68. ----------- “Cost of Protection: Where Do We Stand?”, American Economic Review, Papers and Proceedings, Vol. 92, No.2, 2002, pp. 175-179.