Growth Rate of Indian Economy: Top 5 Measures

Measure # 1. Capital Formation: Capital plays a stra­tegic role in the process of development of a coun­try, at least in its initial stages. According to the Harrod-Domar Model, economic growth depends directly on the saving ratio and inversely on the incremental capital-output ratio. So, an LDC must generate a high rate of saving—so as to accelerate the rate of [...]