Which strategy is best for India economy?
Which strategy is best for Indian economy?
1. Increase production of those products who has great demand in worldwide market for export purposes.
2.Increase production of those products, India import from other countries (Import substitute).
P.S.: Both are required for better economy but Please chose one.for sake of discussion. Thank you!Posted in: #Coffee Room
Anurag - that's an interesting discussion. For the economy to get back on the track; it's very important that the demand for the products goes up; and people start spending money. Unfortunately, because everyone "thinks" that we're heading to recession; people will spend less (and save more).
This reduction in spending will actually force us into recession.
It'll be only after some time that people will actually start buying; and the economy will get back on the track.
In my opinion, it's not a matter of what to produce more; but to create a sentiment among people that things are getting back on the track. When most people feel that economy is getting back on the track; they'll spend more and that'll actually put the economy back on the growth path.
However, I think the Government can actually work on accelerating the production in India (PM's "Atmanirbhar" call). If the PM appeals to Indians to buy Indian; and at the same time, make "Made In India" products available in the market at cheaper rates; we can see a quicker upswing in the economy. Reducing imports will be on government's priority; especially for the goods that actually can be mass produced in the country, within short time.
PS: I'm no expert on economy. My knowledge of economy is very limited!