An Analytical Study on the Role of Private Sector in Bringing Economic Development and Equality in India

Abstract

India's privatisation era is always praised for its capacity to create opportunities and more effective business models to support growth. By excluding the weaker, less skilled and more vulnerable groups in society, private enterprises may also be more likely to exacerbate economic imbalances and inequality, according to the current study. Recent data show that inequality in India has significantly increased in a variety of ways. Additionally, it has been asserted that the private sector makes the wealth gaps worse. In a similar vein, most people would only have limited access to a premium knowledge base or service. This is a worry since the government began disinvesting by selling public sector firms to the private sector, which resulted in a progressive decline in State ownership and control over resources. Privatisation results in the State's loss of control over decision-making and price setting. This may increase the likelihood that expensive, high-quality items and services will be. This study makes an effort to offer solid proof of how the private sector contributes to the country's unequal wealth distribution and low levels of knowledge exchange. This study will also explore if the Indian government can reduce income inequality and poverty rates by enacting sound policies that apply to both the public and private sectors. The results would encourage changes in policy aimed at reducing economic inequality in India and advancing welfare.

Citation

Ojha, M., Raturi, R. and Kamaruddin, S.B. (2024), "An Analytical Study on the Role of Private Sector in Bringing Economic Development and Equality in India", Goel, R., Singh, T., Rahman, M.M., Islam, Q.T. and Baral, S.K. (Ed.) Creating Pathways for Prosperity (Emerald Studies in Sustainable Approaches to Poverty Alleviation), Emerald Publishing Limited, Leeds, pp. 151-178. https://doi.org/10.1108/978-1-83549-121-820241011