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Introduction of Liberalisation, Privatisation and Globalisation Video Lecture | SSC CGL Tier 2 - Study Material, Online Tests, Previous Year
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| 1. What is the meaning of liberalisation, privatisation, and globalisation? |  |
Ans. Liberalisation refers to the relaxation of government regulations and restrictions on economic activities, allowing for more competition and free markets. Privatisation involves the transfer of ownership and control of state-owned enterprises to private entities. Globalisation refers to the increasing interconnectedness and integration of economies, societies, and cultures on a global scale.
| 2. How does liberalisation impact the economy? | |
Ans. Liberalisation can have several effects on the economy. It promotes competition, which can lead to increased efficiency and innovation. It attracts foreign investment, leading to economic growth and job creation. However, it can also lead to income inequality and the concentration of wealth in the hands of a few.
| 3. What are the benefits of privatisation? | |
Ans. Privatisation can bring various benefits to an economy. It can improve efficiency and productivity by introducing private sector practices and competition. It can also reduce the burden on the government's finances by transferring the responsibility of running enterprises to the private sector. Additionally, privatisation can attract foreign investment and improve the quality of services provided by the privatised entities.
| 4. How does globalisation affect employment? | |
Ans. Globalisation can impact employment in both positive and negative ways. On one hand, it can create new job opportunities by opening up markets and facilitating trade. It can also lead to the transfer of technology and knowledge, which can enhance productivity and create higher-skilled jobs. On the other hand, globalisation can also lead to job displacement as companies move their operations to countries with lower labor costs, resulting in unemployment or job insecurity for some workers.
| 5. What are some challenges associated with liberalisation, privatisation, and globalisation? | |
Ans. While liberalisation, privatisation, and globalisation have brought numerous benefits, they also pose challenges. Some of these challenges include income inequality, as the benefits of these processes may not be evenly distributed. There can also be negative environmental impacts due to increased consumption and production. Additionally, countries may face difficulties in managing the social and cultural effects of globalisation, such as the erosion of local traditions and values.
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