Match the items of List I with the correct items of List II
| List I | List II |
|---|---|
| A. Removal of restrictions on the movement of goods and services | I. Legal Environment |
| B. The advertisement of alcoholic beverages is prohibited | II. Privatisation |
| C. Govt. adopted the policy of planned disinvestment | III. Globalisation |
| D. It involved an increased level of interaction among nations | IV. Liberalisation |
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A)-(IV), (B)-(I), (C)-(II), (D)-(III)
(A) Removal of restrictions on the movement of goods and services – (IV) Liberalisation — Liberalisation freed business from unnecessary controls and restrictions. One of its areas is the removal of restrictions on the movement of goods and services.
(B) The advertisement of alcoholic beverages is prohibited – (I) Legal Environment — Laws passed by the Government and orders of authorities form the legal environment. A ban on advertising alcohol is such a legal rule.
(C) Govt. adopted the policy of planned disinvestment – (II) Privatisation — Privatisation means a bigger role for the private sector and a smaller role for the public sector. The Government did this through planned disinvestment of public sector enterprises.
(D) It involved an increased level of interaction among nations – (III) Globalisation — Globalisation means joining the economies of the world into one global economy, so nations interact much more.
NCERT (2026-27 Edition): “Liberalisation: The economic reforms that were introduced were aimed at liberalising the Indian business and industry from all unnecessary controls and restrictions. They signalled the end of the licence-pemit-quota raj. Liberalisation of the Indian industry has taken place with respect to: (i) abolishing licensing requirement in most of the industries except a short list, (ii) freedom in deciding the scale of business activities i.e., no restrictions on expansion or contraction of business activities, (iii) removal of restrictions on the movement of goods and services,” “(v) Legal Environment: Legal environment includes various legislations passed by the Government administrative orders issued by government authorities, court judgments as well as the decisions rendered by various commissions and agencies at every level of the government— centre, state or local. It is imperative for the management of every enterprise to obey the law” “Privatisation: The new set of economic reforms aimed at giving greater role to the private sector in the nation building process and a reduced role to the public sector. This was a reversal of the development strategy pursued so far by Indian planners. To achieve this, the government redefined the role of the public sector in the New Industrial Policy of 1991, adopted the policy of planned disinvestments of the public sector and decided to refer the loss making and sick enterprises to the Board of Industrial and Financial Reconstruction. …” “Globalisation: Globalisation means the integration of the various economies of the world leading towards the emergence of a cohesive global economy. …” |