Speculative growth/Productive Growth--India's dilemma

  1. pramodgokhale profile image46
    pramodgokhaleposted 5 years ago

    In Globalization era, India is advancing and our leaders pat on their back that they saved India from global economic crisis. Western economies are matured and still strong to take up the challenges.
    India is in transition , so we need to build economy which can sustain growth and development.
    At present urban and rural middle class is busy in making money in real estates, stock exchanges, to my knowledge this is a bubble , it does not add in GDP or national income.
    I do not blame people about their activities, productive growth is very important to generate wealth and employment.
    Large cities in India boast as growth centers but  it seems that surrounding area remains backward and resources were used to develop cities or urban centers where vested interests and lobbies are active and have major role in speculative growth and investment.
    To produce a product,  then it has value but inflated prices of flats or money generated in stock exchanges does not add in national income and growth of the country.