India's+Economy

India 's Economy __ Type of Econ: __ quasi-socialist approach, strict government control over private sector participation. foreign trade, and foreign direct investment. Since 1991. gradually opened up markets through economic reforms and reduced government controls on foreign trade and investment, •    Foreign exchange reserves have risen from US$5.8 billion in March 1991 to USS308 billion July 2008, while federal and state budget deficits have decreased. •    Privatization of publicly-owned companies and the opening of certain sectors to private and foreign participation continues rapidly. •  __ GDP __  (in terms of USD exchange-rate) is USS 1.089 trillion. When measured in terms of purchasing power parity (PPP), India has the world's fourth largest GDP at USS4.726 trillion. India's per capita income (nominal) is US$977, while its per capita (PPP)isUSS2700. •  5.5% __GDP .growth__ rate for past 2 decades •  Contains world's second largest __labor force__ (516.3 mil people) « Produces aglicultural crops, automobiles, cement, chemicals, consumer electronics, food processing, machinery, mining, petroleum, Pharmaceuticals, steel, transport equipment, and textiles. « 1/4 of the population earns less than the government-specified poverty threshold of S0.40 per day. • __ Natural resources __ include arable land, bauxite, chromite, coal, diamonds, iron ore, limestone, manganese, mica, natural gas, petroleum, and titanium ore. « Uses large pool of educated, English-speaking people, and trained professionals to become an important outsourcing destination for multinational corporations and a popular destination for medical tourism.. •  In 2007, estimated exports stood at US$140 billion and imports were around US$224.9 billion. o __Export:__ textiles, jewellery, engineering goods, software, and financial, research, and technological services. ° __Import:__ crude oil, machineries, fertilizers, and chemicals are major imports. •  Most important trading partners are the United States, the European Union, and China.