AI-generated practice question — model-generated for extra practice, not a previous-year CBSE board question.
Globalisation is the process of rapid integration of countries through greater foreign trade and foreign investment. Several factors have enabled this process:
1. Improvements in Transportation Technology:
Over the past fifty years, transportation technology has improved greatly. The use of containers for shipping goods has reduced port handling costs and increased the speed of exports, enabling large volumes to reach global markets quickly.
2. Information and Communication Technology (ICT):
Telecommunications, computers, and the Internet have revolutionised globalisation. Services can now be produced across countries — for example, a London magazine designed in Delhi using Internet and e-banking. IT has drastically lowered communication costs.
3. Liberalisation (Policy-level Change):
The Indian government removed trade and investment barriers — reducing tariffs, quotas, and restrictions on foreign investment. This policy change, along with WTO pressure on developing countries, facilitated the free flow of goods, services, and capital across borders.
Source: Chapter 4 — Globalisation and the Indian Economy, "Factors That Have Enabled Globalisation" and "Summing Up"
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