Page 1 :
ECONOMIC APPLICATIONS, CLASS IX, [CHAPTER : 17 Globalisation], --------------------------------------------------------------------------------------------------------------------1.What is Liberalisation. Mention Significance of Liberalisation., Answer- Liberalisation means attitude of the goverment of any country towards the flow of, foreign capital , technology, financial and business services in the domestic economy., Singnificance of Liberalisation, 1. Control of Unfair Trade - In order to remove complexities of industrial sector and to, increase productivity the government takes several steps to restrict unfair and, malpractices of the business., 2.Reducing Restriction - In the liberalisation, the intervention of government has been, reduced to a large extent , due to this industrial sector are free to take decision, regarding several business policies., 3. Export Promotion. - Liberalisation policy emphasises more on export than imports., So it encourages private sector to play an important role in growth process., 4.Capital and Foreign Exchange Markets- Liberalisation policy gives freedom to, capital markets and foreign exchange markets. These market can operate freely, without any approval from government., , 2. What is globalisation? Mention some significance of Globalisation., Answers- It refers to following basic components :, (i) Free flow of capital across national boundries, (ii) Free flow of goods and services across national boundries., (iii) Free flow of technology across national, states., Significance Or Advantages of Globalisation, 1. It helps the underdeveloped and developing countries to increase their capital stock., 2. It helps the developing countries to increase their exports in the developed countries., 3. Globalisation is the main source of economic growth , because it decreases, unemployment and poverty., 4. It helps in increasing production and productivity of the nation.