Topic: Government Budgeting. Investment models.
2. A mature PPP framework, along with a robust enabling ecosystem shall enable the Government to accomplish Nation building. comment.(250 words)
Reference: Indian Economy by Dutta and Sundaram
Why this question:
The question is from the static portions of GS paper IV.
Key demand of the question:
Explain the need for a mature PPP framework, along with a robust enabling ecosystem in accomplishing the goal of Nation building.
Comment– here we have to express our knowledge and understanding of the issue and form an overall opinion thereupon.
Structure of the answer:
In short explain the importance of investment models in the nation building. PPP is an arrangement between government and private sector for the provision of public assets and/or public services. Public-private partnerships allow large-scale government projects, such as roads, bridges, or hospitals, to be completed with private funding
To start with explain what you understand by PPP. Explain the importance of it to the Indian economy. Explain that for a country to grow and increase its production investment is required. Private investment can be source from domestic or international market. Private investment can generate more efficiency by creating more competition, realization of economies of scale and greater flexibility than is available to the public sector. List down in detail the merits and demerits of PPP model.
Conclude with need to embrace PPP model to accomplish the dream of Nation building.