Performance of Indian Economy since 2000 – An Evaluation

Abstract

Growth and development are the fundamental as well as the basic objectives of all the developing countries in the world. On the other hand, maintaining the economic stability is the major goal of all the developed countries. Each nation has her own economic policies so as to develop its economy. The development of a country can be indicated and understood by examining the major economic variables. Increasing real per capita income over a period of time will indicate the economic development of a country. Therefore, the authors made an attempt to evaluate the performance of Indian economy in terms of GNP, general price will indicate the stability of Indian economy and the living standard of people in a country. Therefore, the authorities made an attempt to evaluate the performance of Indian economy in terms of GNP, general price, imports and exports since 2000. As per the analysis on the basis of certain macroeconomic variable, the growth rate of GDP of India was greater than the per capita GDP that indicates the increasing inequality in India in the last two decades. The purchasing power of the people and the value of money are fluctuating and the economy was unstable. India’s GDP share in the world output is insignificant. The growth of imports of India is greater than the export which indicates unfavorable balance of payment in case of India’s international trade.