Changes in Political Environment which impact on business:
Change in Union Govt. Changes in the ideology of the Govt. Changes in laws and regulation. Changes in industrial policy and fiscal policy. Protection to some industries. New focus areas by Govt. like anti-tobacco issue. Changes in Political Environment which impact on business
Functions of states:
Functions of states
Economic role of the Govt.:
Economic role of the Govt.
Rationale of State Govt.:
Legal framework Imperfect competition Externalities Social objectives Eqalitarian society Industrial base Balanced regional development Self reliance Rationale of State Govt.
Extent of State Govt.:
Under the ‘Laissez Fair Policy the function of State were limited to: The maintenance of law and dishonesty in business. Protection from external aggression. Protection from frauds and dishonesty in business. Control over issues of money. Control and protection of property rights. Extent of State Govt.
Slide 7:
‘Laissez Fair Policy’ lost its importance by the industrial revolution which led to workers and consumers, creation of monopolies, gross inequalities in the distribution of income and wealth and other social evils. Since 1991 with the LPG model , the role of public sector was reduced drastically. The role of MRTP Act was restricted.
India’s position:
Topic India's rank Top rank Starting a 111 Australia business Employing 134 US workers Registering 112 NewZealand Property Protecting investor 33 NewZealand Trading across the Border 79 Singapore India’s position