Impact of globalisation 2. Role of SHG3. Formal and informal sources of credit 4. How should govt. increase employment in rural and urban areas

Impact of Globalisation: Globalisation refers to the integration of economies around the world through the movement of goods, services, and capital across borders. It has several impacts such as increased competition, wider dissemination of technology, cultural exchange, and changes in industrial structure. However, it can also lead to job displacement and income inequality.

Role of Self-Help Groups (SHGs): SHGs play a crucial role in poverty alleviation, women empowerment, and social solidarity. They provide a platform for members to pool their resources and access credit and other financial services. SHGs also facilitate collective decision-making and action, enabling members to address their issues and improve their socio-economic status.

Formal and Informal Sources of Credit: Formal sources of credit include banks, credit unions, and microfinance institutions. They are regulated by the government and require borrowers to meet certain criteria. Informal sources of credit include moneylenders, friends, and family. They are not regulated and often charge higher interest rates.

How Government Should Increase Employment in Rural and Urban Areas: The government can increase employment by investing in infrastructure, promoting entrepreneurship, providing vocational training, and implementing employment guarantee schemes. In rural areas, the focus should be on promoting agro-based industries, improving agricultural productivity, and developing rural tourism. In urban areas, the focus should be on promoting the service sector, improving the business environment, and developing smart cities.

Impact of Globalisation: Globalisation refers to the integration of economies around the world through the movement of goods, services, and capital across borders. It has several impacts:

• Economic Growth: Globalisation can lead to increased economic growth and prosperity. It allows countries to participate in the global market and benefit from international trade.
• Cultural Exchange: Globalisation leads to the exchange of cultural ideas and values, leading to a more diverse and interconnected world.
• Inequality: While globalisation can lead to economic growth, it can also exacerbate income inequalities. Wealthy countries and individuals often benefit more from globalisation than poorer ones.

Role of Self-Help Groups (SHGs): SHGs are voluntary associations of people formed to attain certain collective goals. They play a crucial role in:

• Empowerment: SHGs empower their members, particularly women, by providing them with a platform to make decisions.
• Financial Inclusion: SHGs promote savings among their members and provide them with access to credit.
• Social Change: SHGs can also bring about social change by addressing issues like gender inequality and social discrimination.

Formal and Informal Sources of Credit: Formal sources of credit include banks, cooperatives, and government institutions. They are regulated by the government and provide credit at reasonable rates. Informal sources of credit include moneylenders, friends, and relatives. They are not regulated and often charge high rates of interest.

How Government Should Increase Employment in Rural and Urban Areas: The government can increase employment through various measures:

• Skill Development: The government can provide skill development programs to equip people with the skills needed for various jobs.
• Infrastructure Development: By investing in infrastructure, the government can create jobs in construction and related industries.
• Promoting Entrepreneurship: The government can promote entrepreneurship through various schemes and incentives, leading to job creation.
• Agricultural Reforms: In rural areas, agricultural reforms can increase productivity and create employment opportunities.
• Industrial Policies: In urban areas, the government can promote industries and manufacturing units to create jobs.