Match the following terms with their corresponding descriptions:

Term:

1. Stabilization measures

2. Structural reform measures

3. Privatisation

4. Globalisation

Description:

a. Short-term measures to control inflation and maintain foreign exchange reserves.

b. Long-term measures aimed at improving the efficiency of the economy and increasing international competitiveness.

c. Deregulation of Industrial Sector

d. Outsourcing

1-a, 2-b, 3-c, 4-d

Stabilisation measures are shortterm measures, intended to correct some of the weaknesses that have developed in the balance of payments and to bring inflation under control. In simple words, this means that there was a need to maintain sufficient foreign exchange reserves and keep the rising prices under control.

Structural reform policies are long-term measures, aimed at improving the efficiency of the economy and increasing its international competitiveness by removing the rigidities in various segments of the Indian economy.

Liberalisation: It was introduced to put an end to these restrictions and open various sectors of the economy. Deregulation of Industrial Sector was one of the most important step for achieving liberalisation.

Globalisation: Outsourcing is one of the important outcomes of the globalisation process.