Explain the VKRV Rao’s National Income Methodology and Industrializa

1.	Explain the VKRV Rao’s National Income Methodology and Industrialization?
Answer» (a) Rao’s National Income Methodology: 1. Rao’s name is remembered for his pioneering work on the enumeration of national income of India. 2. He attempted To develop the national income concepts suited to India and developing countries. To analyze the concepts of investment, saving and the multipliers is an underdeveloped economy. To study the compatibility of the national incomes of Industrialized and underdeveloped countries. 3. Rao’s paper on “Full Employment and Economic Development” was one of the earliest contributions in the field of development towards employment. (b) Rao’s views on Industrialization: Rao gave the following reasons for low per capita income and low levels of per capita nutrition in India. 1. Uneconomic holdings with sub-divisions and fragmentation. 2. Low levels of water availability for crops. 3. Excess population pressure on agriculture due to the absence of a large industrial sector. 4. Absence of capital. 5. Absence of autonomy in currency policy, and in general in monetary matters encouraging holding of gold.

Explain the VKRV Rao’s National Income Methodology and Industrialization?

Answer»

(a) Rao’s National Income Methodology:

1. Rao’s name is remembered for his pioneering work on the enumeration of national income of India.

2. He attempted

To develop the national income concepts suited to India and developing countries.
To analyze the concepts of investment, saving and the multipliers is an underdeveloped economy.
To study the compatibility of the national incomes of Industrialized and underdeveloped countries.

3. Rao’s paper on “Full Employment and Economic Development” was one of the earliest contributions in the field of development towards employment.

(b) Rao’s views on Industrialization: Rao gave the following reasons for low per capita income and low levels of per capita nutrition in India.

1. Uneconomic holdings with sub-divisions and fragmentation.

2. Low levels of water availability for crops.

3. Excess population pressure on agriculture due to the absence of a large industrial sector.

4. Absence of capital.

5. Absence of autonomy in currency policy, and in general in monetary matters encouraging holding of gold.