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Question : The 1991 economic policy led to the deregulation of which sector in India?

Option 1: Energy

Option 2: Transportation

Option 3: Agriculture

Option 4: Education


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Team Careers360 1st Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer: Energy


Solution : The correct answer is (a) Energy

The 1991 economic policy in India led to the deregulation of the energy sector. Prior to the reforms, the energy sector in India was heavily regulated and controlled by the government. The government had a monopoly over the production, distribution, and pricing of energy resources such as electricity, oil, and gas.

As part of the economic reforms, the government introduced measures to liberalize and deregulate the energy sector. This involved reducing government control, promoting competition, and attracting private investments in the sector.

The deregulation of the energy sector aimed to introduce market-oriented reforms, increase efficiency, and improve the availability and reliability of energy resources. It allowed for the entry of private companies into the energy market, which facilitated competition and innovation.

 

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