Assertion: Removing barriers or restrictions set by the government on ...
I'm not so called Confidence,but the Answer maybe Is option B) Both A and R are true and R is not the correct explanation of A
Assertion: Removing barriers or restrictions set by the government on ...
Assertion: Removing barriers or restrictions set by the government on trade is known as liberalisation.
Reason: This helps in the globalisation process.
The correct answer is option 'A'. Both the assertion and reason are true, and the reason is the correct explanation of the assertion.
Explanation:
Liberalisation:
Liberalisation refers to the removal or reduction of barriers, restrictions, and regulations by the government in various sectors, including trade. These barriers can include tariffs, quotas, licensing requirements, and other trade barriers that limit the flow of goods and services between countries.
Globalisation:
Globalisation is the process of increasing interconnectedness and interdependence among countries through the exchange of goods, services, information, and ideas. It involves the integration of economies and societies on a global scale.
Removing Barriers:
When the government removes barriers or restrictions on trade, it allows for the free flow of goods and services across borders. This promotes international trade and enables countries to access a wider range of products and services from other countries.
Benefits of Liberalisation:
1. Increased competition: Liberalisation encourages competition as it allows domestic industries to compete with foreign companies. This leads to improved efficiency and productivity.
2. Access to new markets: Liberalisation opens up new markets for domestic industries, as they can export their products to other countries without facing excessive trade barriers.
3. Consumer benefits: Liberalisation often leads to lower prices for consumers, as increased competition and access to a wider range of products drive prices down.
4. Economic growth: Liberalisation can stimulate economic growth by attracting foreign investment, fostering innovation, and creating job opportunities.
5. Technological advancements: Liberalisation promotes the transfer of technology and knowledge across borders, leading to technological advancements in various sectors.
Relation between Liberalisation and Globalisation:
Liberalisation plays a crucial role in the process of globalisation. By removing barriers to trade, liberalisation facilitates the integration of economies and promotes the exchange of goods and services between countries. It enables countries to participate in the global market and benefit from the advantages of globalisation, such as increased economic growth, access to new markets, and technological advancements.
Therefore, it can be concluded that removing barriers or restrictions set by the government on trade is known as liberalisation, and this helps in the globalisation process.
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