by Manali Chakrabarti
According to the World Bank, India’s nominal GDP crossed the $ 2 trillion mark in 20141, and is slated to grow at close to 8 per cent annually in 2016 and 20172. To put this in perspective: In 1991, the year the Indian economy was opened up and we embraced neoliberal policies, the Indian GDP was about $275 billion, which by the turn of the century had doubled to $481 billion. But the really rapid growth of the Indian economy has been in the last 15 years, which saw GDP increase by almost four-and-a-half times. One needs to remember that these include years which saw the greatest global recession since the 1930s. Thus, for the economy as a whole the promised ‘achche din’ seem to be happening and there are numbers to prove it. The policymakers who have been rooting for further opening up and freeing of the economy have been justifiably sporting a smug expression with this quantitative endorsement of their position.
However, one vexing question for them is that some people continue to claim that all this growth has not translated into alleviation of poverty–the ‘poor’ have been stubbornly (more…)