2. ECONOMIC GROWTH
An increase in the capacity of an economy to
produce goods and services, compared from
one period of time to another.
It can be measured in nominal terms or in real
terms.
Increase in Demand
• Lower interest rates &
income tax
• Increased wages,
government spending
& consumer
confidence
Increase in Supply
• Increased capital,
working population,
Labour productivity
• Technological
improvements
CAUSES
3. IMPORTANCE
Reduce Poverty
Reduces
Unemployment
Budget deficits
Living Standards
In the FY 2014 – 2015
economic growth of
India was 7.4% and in
2015 – 2016, we
expect to have a
growth of 8.1 – 8.5%.
Inflation decreased by
6%. CAD decreased
by 1%
MAJOR OBSTACLES TO INDIA’S
GROWTH
•Infrastructure Shortages
•Large Fiscal Deficit
•Restrictive Labor Regulations
•Unreformed Financial Sector
4. BLACK MARKETING
A black market or underground economy is
the market in which goods or services are
traded illegally.
Common black markets are - Drugs (Both
Legal & Illegal),Slave Labor, Animals
(Particularly Furs and Exotic creatures),
Human Organs and Stolen Goods.
Black market is estimated to be as much
as 36 percent of the GDP of developing
nations and 13 percent of developed
5. causes of blackmarket:
When the supply of goods is not equal to the
demands
Increasing level of poverty and
unemployment
There is no controls on licensing system
Due to lacking of education and awareness
MeasurementDirect Approach
•Questionnaire & Survey
•Employment analysis
Indirect Approach
•GDP and expenditure
analysis
•Energy conception analys
6.
7. Recommendations for legalization
Simplify/Rationalize tax laws
Consolidating the public sector and making
administrations more efficient
Stringent laws to control and monitor
Creation of awareness among students on
the evil of black marketing