Indian Economy – The Endless Loop

Each and every subject of the country incorporates a right to steer an honest life. All and sundry should be able to fulfil his minimum wants like food, health care, housing, basic education, etc. However, the Republic of India may be a poor country wherever an oversized section of the population cannot afford much of these. The growth of the economy was largely hit by the covid pandemic.  

The matter is made worse thanks to the very fact that our economy doesn’t offer adequate employment opportunities, so poor individuals will get jobs and earn financial gain. Thus, the wipeout of impoverishment and state may be a major challenge before the economy. Since the Republic of India is a giant country in terms of population, the provision of education and health care by the government to all of its voters provides a serious challenge. Another necessary concern before the government is the economic process of commodities within the market that is named inflation. The rise in costs hit the poor and bourgeois individuals badly. Finally, the financial gain of the state should additionally grow with the rise in population and their needs, so the event method continues. Achieving economic progress each year is a serious challenge before the economy. 

Here are some of the challenges faced by the Indian economy sectors: 

Overpopulation: 

At present, the population of India is around 1.2 billion. The population is increasing at an immense rate. Due to the advances in bioscience and different public health measures, the death rate has been greatly reduced. The growth of population in relation to the expansion of the economy is leading to the incidence of deficiency, disease, and unhealthy conditions of living. 

Poverty and state: 

 One recognizes that food is essential for our existence. We tend to take food to induce energy for our body, so we are able to perform activities. A person is considered to be poor in the country of India if he or she is unable to purchase or provide food for himself or his family. Poverty is a major hindrance to the growth of the economy.  

The slow growth of industries, education, and coaching are the main reasons for the state in the Republic of India. Additionally, our agriculture industry is already overburdened, and employment is seasonal in many regions. 

The predominance of agriculture: 

Agriculture and extractive sectors such as mining, fishing, and forestry are the mainstays of less developed countries’ economies. Agriculture’s dominance may be explained in terms of the sectoral mix of value and activity pattern. In 2004-05, agriculture employed 52 per cent of India’s total population. Agriculture is still an underdeveloped industry in Asian countries, despite its dominance.

Vast inequalities in financial gain and wealth: 

Inequalities in the distribution of financial gain and wealth are also prevalent in Indian economy sectors. In India, as the years pass, disparities are becoming more pronounced. The logical consequence of this gap is widespread poverty. Nearly 60% of India’s population shares a common percentage of the country’s value. However, just 5% of the population is rich enough to enjoy the same amount of value. If this continues to be the case, economic development will be extremely difficult.

Some policies to tackle the challenge of unemployment and poverty: 

• Swarna Jayanti Sahari Rozgar Yojna (SJSRY)  

SJSRY is a scheme launched by the government in order to provide work to the poor who are residing in urban cities. It was first launched in the year 1997, and since then, many improvements to the program have happened, which includes: 

 (i) self-employment programs have been introduced for the poor. 

(ii) urban women have been provided with various platforms. 

 (iii) the poor in urban areas are now offered training  

• MGNREGS: The Mahatma Gandhi National Rural Employment Guarantee Scheme  

MGNREGS seeks to provide the rural people with at least one hundred days of guaranteed pay work each year. Unskilled labour is provided with manual labour under the system. In 2006, the initiative was started in over 200 districts across India.

Conclusion  

The Indian GDP in 2020 showed signs of recovery. As the nation is on the road towards economic development, there are still many obstacles for various Indian economy sectors. The inclusion of small businesses in the economy and promoting such enterprises has helped in creating a lot of jobs and revenue all over the country.