Indian Economy Explained
Background
Indian Economy has been shaping and going through vital changes all through decades under. Government of India has been shaping Economy through Five Year Plans. Planning Commission of India (1951 – 2014) and NITI Aayog (2015-2017) has been developing, executing and monitoring the task. Earlier, These plans were concentrating upon general countries problems but over the period, The focus had been changed towards economic growth to help or serve the overall purpose.
Second five year plan prioritised Industrialization. It concentrated towards developing infrastructure helping industrialisation. Fifth and sixth plan too concentrated upon economic and infrastructure growth. Seventh plan saw it way through technological development and upgrades till 1989.
Indian Economy Grand Opening
The real breakthrough was yet to come in Indian Economy which was nothing but Indian Economy Grand Opening. The moment was all about Liberalization, privatisation and globalization. It not only expanded industrial sector contribution towards GDP but also, given opportunities to multinational organisations to enter Indian market. It was an era of free market reforms, institutional building, tourism management, modernization of industries, decentralisation and human resource management. India became a member of World Trade Organisation on 1 January 1995.
Till now, public was happy being employed under government departments, organisations and institutions in general since private sector was developing and investment was also very little. Public and private sector combination supported and generated employment opportunities this time. The initiatives boosted private sector contribution towards Indian economy. The employment pattern of Indian economy also got changed.
Public started looking for opportunities comfortably in private sector as well. The remuneration given to employees was higher in private sector in comparison to public or government sector during this time. Government of India already achieved sector growth through the efforts but still there is long way to go. Government of India now started putting efforts towards bringing down regional inequalities. It was all about managing demand and supply of human resources.
Indian Startup Ecosystem
All these factors between 1995 and 2012 provided major boost to private sector. It also gave birth to new general public aspirations lately. General public have been encouraged to start building new ventures and organisations. Startups reigning today’s Indian startup ecosystem came to existence during these times. It also gave shape to ecommerce and mobile commerce sector in coming years starting from early 2010.
Suddenly, Technology based automated procedures took precedence over manual processes. It was majorly due to IT sector development and Instruments or applications like computers, laptops and mobiles. Public shifted focus from employed to employer. The industrial or corporate giants evolved during past times, also tapped the opportunities by investing in or collaborating with these new age enterpreneurs. Some took audacious steps by developing these entrepreneurs into intrapreneurs and using talents towards their own benefits.
Conclusion
We have been reading through our India education system that India is mixed economy neither capitalist economy nor socialist economy. Indian Economic Paradigm has started from being socialist nature but over the period, It has been shifted from socialist to capitalist nature alongside government support. Employment structure also changed from government or public sector jobs to private sector jobs and now to being employers through startup initiatives.
