V2C10: Social Infrastructure, Employment And Human Development
TRENDS IN SOCIAL SECTOR EXPENDITURE The increase in expenditure on the social services sector affirms the commitment of the government towards social well-being. The expenditure on social services by Centre and States as a proportion of Gross Domestic Product (GDP) increased by 1.5 percentage points from 6.2% to 7.7%, during the period 2014-15 to 2019-20 […]
V2C9: SERVICES SECTOR
Key Highlights of the Sector The services sector’s significance in the Indian economy has continued to increase, with the services sector now accounts for: around 55% of GVA and GVA growth; two-thirds of total FDI inflows into India; and about 38 % of total exports. The share of services sector now exceeds 50% of […]
V2C8: INDUSTRY AND INFRASTRUCTURE
INDUSTRY Industrial sector performance is critical to achieving the ambitious goal of making India a five-trillion economy. The sector plays a decisive role in determining the overall growth of national output and employment through its backward and forward linkages with the other two sectors of the economy (namely; agriculture and services). It contributes close to […]
V2C7: AGRICULTURE AND FOOD MANAGEMENT
MAJOR HIGHLIGHTS Agriculture and its allied sectors play a significant role in the economic transformation of our country especially in the arena of rural livelihood, employment and national food security. It is still the largest source of livelihoods in India as 70% of its rural households still depend primarily on agriculture for their livelihood (including […]
V2C6: SUSTAINABLE DEVELOPMENT AND CLIMATE CHANGE
INTRODUCTION Sustainable Development Goals (SDGs) aims to achieve a sustainable future, free from social, economic, and environmental inequalities and ensure a greener and healthy planet for future generations. India’s performance in the composite SDG index has improved from 57 in 2018 to 60 in 2019. The SDG nexus approach helped India to attain these achievements. […]
V2C5: PRICES AND INFLATION
IMPORTANT TERMS Cobweb theory: The idea that price fluctuations can lead to fluctuations in supply which causes a cycle of rising and falling prices. Inflation: A general increase in prices and fall in the purchasing value of money. Headline inflation: Headline Inflation refers to the overall change in price level and is susceptible to supply […]
V2C4: MONETARY MANAGEMENT AND FINANCIAL INTERMEDIATION
BASIC TERMS Neutral Monetary policy: Neutral Monetary policy refers to the central bank (read RBI) keeping such rate or range of rates, which are consistent with full employment, trend growth, and stable prices. An economy in this state doesn’t need to be stimulated or slowed by monetary policy. Accommodative Monetary policy: An Accommodative monetary policy […]
V2C3: EXTERNAL SECTOR
IMPORTANT TERMS: Import elasticity of exports: An analysis of the relationship between exports of finished goods and imports of raw materials and intermediate goods for India is being undertaken. Net International Investment Position (NIIP): NIIP measures the gap between a nation’s stock of foreign assets and foreigner’s stock of that nation’s assets at a specific […]
V2C2: FISCAL DEVELOPMENTS
2019-20 — sluggish growth in Tax revenue relative to the budget estimates. Better Non-Tax revenue growth Going forward, considering the urgent priority of the Government to revive growth in the economy, the fiscal deficit target may have to be relaxed for the current year. Government Receipts Central government receipts can broadly be divided into Non-debt […]
V2C1: State of the Economy
Contents: Global Economy in 2019-20 Indian Economy in 2019-20 Size of the Economy GVA and GDP growth Inflation Employment: Formal vs Informal Fiscal situation Monetary Policy Credit growth External Sector Performance Sectoral Development Advance Estimates Key Indicators The Recent Growth Deceleration: Drag of Financial Sector on the Real Sector The slowing cycle of growth Decline […]