ECONOMICA

     With nearly one-third of China’s economic activities being driven by the real estate sector and the collapse of one of the giants in the real estate sector, the Evergrande Group, the situation in China looks grim and has been grabbing a lot of attention from countries the world over. Availability of cheap credit for the real estate projects, keeping bank deposits at near zero-level and reckless expansion spree followed by heavy borrowings by the developers led to what we now know as the real estate crisis of China, which has become quite noticeable to the world since 2020. The blog aims to provide the readers an insight into what exactly has been brewing in the Chinese economy due to the crisis and how it appears to be alarming for not just China but for the economies of the countries all over the world.      Even though China has been experiencing the crisis in 2022; it did not occur in a night. Its roots lie in 1990s when China was experiencing continuous rise in urban populatio

Post British Economy Two hundred years of British rule left the Indian economy in a state of complete distortion. Once an international trade hub, in 1947 it was a nation dying from hunger. The transfer of revenues from India to Britain resulted in India suffering from a severe economic crisis and food shortages. The Bengal Famine of 1943 is a classic example of the extent of food shortage, when an estimated 1.5 million people died. At the time of Independence, the literacy rate was only 17 % with life expectancy being 32.5 years at birth. India’s GDP in 1947 was a meagre ₹2.7 lakh crore. The leaders of the National Movement were faced with the challenges of Financial Growth (Overall economic performance) and Economic Development (Development of all sections of society). Let’s analyse the two important policies the GOI introduced to tackle these challenges.     Five Year Plans(FYP’s) Even before Independence, the leaders of the National Movement were inspired by the Soviet model of a P