Page 16 - DECO303_INDIAN_ECONOMY_ENGLISH

Tanima Dutta, Lovely Professional University
Unit 2: Structure of Indian Economy

Unit 2: Structure of Indian Economy Notes

CONTENTS
Objectives
Introduction

2.1 National Income Estimate in India
2.1.1 Calculating National Income
2.2 Human Resource and Economic Development

2.2.1 Roles of Human Resources
2.2.2 Human Resources are Regarded as Vital for Economic Development
2.3 Infrastructure in the Indian Economy
2.3.1 Key Factors of Indian Infrastructure
2.3.2 Infrastructure in India: Key Developments

2.4 Methods of Calculating National Income
2.5 Factors Determining National Income Estimation
2.6 Limitations of National Income Estimation in India

2.7 Uses of National Income Statistics
2.8 Summary
2.9 Keywords
2.10 Review Questions
2.11 Further Readings

Objectives

After studying this unit, you will be able to:
Describe the concept of national income of India
Define human resources development
Know the concept of infrastructure in the Indian economy

Introduction

Over the last 56 years, the Indian economy has undergone a gradual structural change. Though
the pace of the structural transformation was more or less slow during the pre-reform period, it
has become rapid after the launch of new economic reforms in the decade of the nineties. During
independence, Indian economy was mainly rural and agricultural. At the initial years of the
First Five-year Plan, the contribution of the primary sector (forestry, agriculture and logging,
fishing) in GDP at factor cost was largest followed by tertiary sector and secondary sector
respectively. Thereafter, the major drive towards diversification and modernisation of the Indian
economy in the following plans resulted in increased shares of the secondary and tertiary
sectors and declined share of the primary sector in the national product.

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