"In the post-independence era (1950 – 90s), industrial development in India accelerated the rate of economic development." Justify the given statement with valid reasons.

Question

Accepted Answer

I **justify** that industrial development accelerated rate of economic development during 1950-90s. Valid reasons:

1. **Employment Generation:** Industrial sector provided stable employment opportunities, especially in manufacturing.

2. **GDP Contribution:** Industrial sector contributed to GDP growth and structural transformation of economy.

3. **Technology Transfer:** Industrialization brought modern technology and management practices.

4. **Linkages with Agriculture:** Industries created demand for agricultural raw materials and provided inputs for agriculture.

5. **Import Substitution:** Domestic industries reduced dependence on imports.

**However:**
- Growth rate was slow due to License Raj
- Public sector inefficiencies
- Limited competition
- Technology remained outdated compared to global standards