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Test # 13


1.
I hate to ________ the subject but have you ever considered moving out?

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    Liberalization of 1991 was one of the important events in Indian history. Right from 1985 Indian economy was in crisis. In 1991, government was close to default, RBI had refused any new credit, and government had only 1 billion US dollars in foreign exchange (only enough to sustain three weeks worth of import). India had to pledge 20 tons of gold from reserves to Union Bank of Switzerland. Further 47 tons were transferred to Bank of England as collateral for IMF bailout. Indian currency was devalued and economic reforms were forced upon India. This was all attributed to the Nehrus practise of heavy industrialization in a socialist economy, introducing license raj for the purpose of


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