Economic growth in India
- Created by: CharlGoddard
- Created on: 23-05-15 18:54
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- Economic growth
- Factors that caused economic growth
- Transport- In India is doesn't take as long for cargo ships to get to India(only takes 25 days, not 30) so it is cheaper which saves money and time. They encourage local manufacturing- so they import things from India rather than outside country- cheaper and less tax
- Human resources- They have a good education system which means more people are able to work.
- Market- workers= average age of a worker in India is 23- they are young so have less health issues, more likely to except lower wage and are more flexible and fitter. As they are cheaper to pay, it means more money for the business.
- Entrepreneurs- invest in different businesses, bringing money to India.
- Factors limiting economic growth
- Shortage of electricity- For example in TATA, they would be useless without electricity because most of the machines + technology require electricity. A major blackout occurred in Northern India in July 2012=effected over 300 million people.
- Jobs- The company kingfisher(planes) had their licence suspended and were crippled by dept- eventually they couldn't afford to. pay the employees salary- almost all of the employees stopped working
- 90% of India's jobs are informal- the employees have nearly no rights and very few receive a regular wage.
- The inland transportation costs have always been high in India. The cost of transporting a cargo container over 1km in India is 50% higher than it is in the US.
- India have the worst rules and regulations with bribes in SE Asia(according to some surveys)- this makes it hard for new businesses to set up.
- Factors that caused economic growth
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