Stability leads to economic growth

People no matter which community they belong to need to stop giving kneejerk reaction

According to the recently released report, Indian economy would be worth $6 trillion in the next  decade. Given the recent improvements in market situation it is going to be a steady growth from now. Although, insiders are cautioning that it may fluctuate before getting to the predicted result.But, there are a few issues that need to be dealt with first.

It is said to be a good time, toinvest in the share market now for future gains. The upbeat morale of the government to tackle crippling issues of the economy has led to investors getting excited towards the near future.

Although, steps are being taken in the right direction, it is still not enough. Political and social stability make or break an economy. Analysis of previous data has revealed that it is one of the most significant contributing factors towards growth in the economy. As long as there is stability, there will be investors flocking to invest.

E.g. American companies began investing heavily in Nazi Germany and Italy under Benito Mussolini before the World War 2. Due to the stable political and social climate (at least for the investors) these countries attracted investment that helped them become one of the strongest economies.

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Leaving the negative connotation ofthe example, it is interesting to see that investors would not mind putting their money in the hands of a Dictator, if there was a chance for profit! Hence, when it comes to India, atmosphere is far better.It has a democratically elected government, chosen through well conducted elections (praised around the globe for legitimate conduct). The only thing that stands in the way is social issues. It is very easy for issues to quickly escalate. Majority of media in the country has been accused of adding fuel to the fire disrupting stability.

Whatever the issues are, they need to be solved. People no matter which community they belong toneed to stop giving kneejerk reaction because many a times issues turn out to be opposite of what they were speculated to be. Only then will the world open up to do business with India!