BANKING AFFAIRS

Detailed explanation-1: -The Hindu rate of growth is a term used by advocates of liberalisation referring to the lower annual growth rate of the economy of India before the economic reforms of 1991, which stagnated around 3.5% from 1950s to 1980s, while per capita income growth averaged around 1.3%.

Detailed explanation-2: -The correct answer is GDP. The term ‘Hindu rate of growth’ was coined by Professor Rajkrishna, an Indian economist, in 1978 to describe the slow growth and to explain it against the backdrop of socialistic economic policies. Hindu growth rate is related to GDP.

Detailed explanation-3: -The term “Hindu rate of growth” was coined by Professor Rajkrishna, an Indian economist in 1978. The term refers to the low annual growth rate of the planned economy of India before liberalization of the economy. It takes into account the GDP growth of the country.

Detailed explanation-4: -Real gross domestic product (GDP) increased at an annual rate of 2.7 percent in the fourth quarter of 2022, after increasing 3.2 percent in the third quarter.

Detailed explanation-5: -The term was coined by Prof Raj Krishna who argued at one of his lectures in the late 70s that “.. no matter what happens to the economy the trend growth rate in India will be 3.5%”. It was later used by a few economists to link the low growth rate of the 50s-80s period to Hindu beliefs of “Karma” & “Bhagya”.