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Q.

Select if the given statement is true/false:

Globalization refers to the removal of barriers to foreign trade.

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a

True

b

False

answer is B.

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Detailed Solution

The given statement is false.
Liberalization is the process of removal of barriers to foreign trade and foreign investment, while globalization refers to the integration of a country's economy with the world economy. It was in 1991 that India's government decided to adopt the policies of liberalization and globalization. As a result, the Indian economy is more connected than ever with the rest of the world.
The correct statement is that liberalization refers to the removal of barriers to foreign trade.

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