What Are The Main Features of A Developing Economy?

In India, the country's national income grew slowly but steadily. It is evident from the Rs 2, 69,624 in 1950/51 to Rs 49,58,849 for 2011/12, which showed a growth of 173 8.5% over the last 61 years, that Indian national earnings at the prices of 2004/5 have increased by 1738.5%. 

Also, national income in India rose from Rs 9,820 in 1950-51 to Rs 1,12.17,079 in 2014-15 which showed an increase of 1141 times over the current 64-year period.

The sectoral share of national revenues is a significant measure of the extent of economic growth. Agriculture, forestry, fishing, and mining contributions by the primary sector gradually decreased from 56.4% of GDP in 1950-51 to 45.8% in the 1970-71 period, then finally to 19.07% in 2014-2015.

In speeding a country's rate of economic development, capital formation plays an important role. The expected gross domestic savings in India since planning started would be of great interest. The gross domestic savings rate has risen dramatically in the first four decades of planning.

During the five decades of planning in India, the agricultural sector has achieved considerable growth. Also, by contributing to food supplies, raw materials, and exports, agriculture is playing a crucial role in overall economic development.

Thus it has been found that the production of many crops in India, due to the growing use of chemical fertilizers, HYV seeds, and better techniques of production, has increased substantially with the modernization of the agriculture sector. India has also increased its overall production of irrigation capacity from 23 million hectares in 1950-51 in 2006-2007 to 102.8 million hectares.

The industrial sector in the country has made substantial progress as a result of the expected growth. Industrial development in the country also has increased considerably over the last 61 years of planning. The Industry Output Index (Base = 1993-94) has therefore also risen in 1970-71, 1991-91, and then in 2009-2010, from 7.9 in 1950-51 to 28.1. The index of Industrial Production has also increased to 316.2.

In the years 1995 to 1996 and then to 11.6% in the year 2006–07 the nation experienced an industrial upturn of 11.7% and then declined to just 4.5% in 2013–14. Over the last 62 years of planning, industrial development in some significant industries has also increased significantly. Finished steel output increased considerably from 1.04 million to 73.4 million tonnes in the years 2011-2012 from 1950-51 and fertilizer output (NPK) from 18,000 to 25,956 thousand tonnes in the years 2011-2012.

There has also been substantial growth in the manufacturing organization. Investing in the public sector has also increased considerably in industry and the industrial transition has been sustained. The Net Domestic Product (NDP) proportion of the public sector has risen at its current price from 7.5% in 1950-51 to 24% in 1990-91. 

In NDP, the share also increased from 3.5% in 1950-51 to 14.4% in 1990—91 in the public sector alone (excluding public administration and defense). In the sense of the gross national capital formation, public sector share also increased from 3.5% of Plan 1 to 12.1% of Plan 7.

The public sector contributions to jobs have also increased from 11 million people in 1971 to approximately 19.2 million people in 1992, showing an increase of approximately 75% over that period which again represented almost 7.13% of the overall job produced in the country.

The country began to create jobs for the citizens of the country through the progressive growth of various sectors of the economy. During the first, second, and third plans in India, the employment volume produced was 70 lakhs, 100 lakhs respectively, and 145 lakh.