Question
Why did India embark on far-reaching economic reforms in 1991?(1 point)
Responses
There was a shortage of labor.
There was a shortage of labor.
The country was unable to pay for vital imports.
The country was unable to pay for vital imports.
The country faced severe food shortages.
The country faced severe food shortages.
India had recently gained independence.
Responses
There was a shortage of labor.
There was a shortage of labor.
The country was unable to pay for vital imports.
The country was unable to pay for vital imports.
The country faced severe food shortages.
The country faced severe food shortages.
India had recently gained independence.
Answers
GPT-4o mini
The correct response is: **The country was unable to pay for vital imports.**
In 1991, India faced a severe balance of payments crisis, which made it difficult for the country to pay for essential imports such as oil and food. This led to a series of economic reforms aimed at liberalizing the economy and promoting growth.
In 1991, India faced a severe balance of payments crisis, which made it difficult for the country to pay for essential imports such as oil and food. This led to a series of economic reforms aimed at liberalizing the economy and promoting growth.