Practicing Success
Practicing Success
CUET Preparation Today
| Since the 1990s, Indian government has followed a policy of liberalisation. Which one of the following is NOT an aspect of India's liberalization policy? |
Allowing Foreign Direct Investment Encourages economic growth of private sector Abolition of the previously existing license Raj in India Rise in Interest Rates and Tariffs |
| Rise in Interest Rates and Tariffs |
| Since the 1990s, however, the government has followed a policy of liberalisation. Private companies, especially foreign firms, are encouraged to invest in sectors earlier reserved for the government, including telecom, civil aviation, power etc. Licenses are no longer required to open industries. Foreign products are now easily available in Indian shops. As a result of liberalisation, many Indian companies— small and large, have been bought over by multinationals. At the same time some Indian companies are becoming multinational companies. Lieberalisation has resulted in decrease in interest rates and tariffs. |
