The document provides information about the Indian economy, including its current national income of $9.446 trillion PPP dollars in 2016. It discusses the different methods used to measure national income, as well as difficulties in measurement. It also covers topics such as business cycles, inflation, price indices, and the contributions of different sectors to the Indian economy. Finally, it presents a SWOT analysis of the Indian economic environment.

1. Indian Economic
Environment
Module: 5

2. Indian at Glance
• Capital
• Area
• Official language
• Population
• Rec language
• Sex ratio
• State
• Literacy rate
• Largest state
• Smallest state
• National Park
• Wild sanctuaries
• Life expectancy rate

3. Recent
Changes in
Economy

4. National Income
National income is the total value a country's
final output of all new goods and services
produced in one year.
Current National Income of India –9.446 trillion
PPP dollars (2016)

6. Measurement of National
Income
• Product Method
• Income Method
• Expenditure Method

7. Growth rate

8. Difficulties in Measuring National
Income
• Non Monetary Transactions
• Problem of Double Counting
• The Underground Economy
• Petty Production
• Public Services
• Capital Gains or Loss
• Price Changes
• Illiteracy and Ignorance

9. Business Cycle
• Natural rise and fall of economic growth that
occurs over time.
• Analysing the economy
• Better financial decisions

11. Phases of a business cycle
• 1. Expansion
• 2. Peak
• 3. Recession
• 4. Trough
• 5. Recovery

12. Inflation
• Inflation is a
sustained increase
in the general
price level of
goods and services
in an economy
over a period of
time.

13. Price indices
• Percentage number that shows the extent to
which a price has changed over a period as
compared with the price(s) in a certain year
Kinds
• Wholesale PI
• Consumer PI

14. Contribution of different sectors in
Indian economy
• Agriculture (17.32%)
• Industry (29.02%)
• Services (53.66%)

15. SWOT
Strength
• Intelligent Human Resource
• Natural resource
• Less Labour Cost
• Extensity higher education system
• 3rd Largest reservoir of engineers
• Growth of IT and BPO
Opportunities
• Entry of Private firms
• Area of Bio Tech
• Inflow of FDI
• Huge Foreign ex
• Area of Infrastructure
• Investment in R & D
Weakness
• Poor Infrastructure
• Import is more than exports
• Lack of tech invention
• Political instability
• Low literacy rate
• Poverty
Threats
• Threat of govt intervention
• Growing import bills
• Population explosion
• Agriculture depended on monsoons
• Increase in the sick units
• Volatile in the crude oil price and
commodities

16. Thank
You