Limitations of the services sector, Microeconomics

Limitations of the Services Sector:

The services sector in India, as at present, suffers from low productivity and low quality in spite of fairly large investment in technology. Unless sustained efforts are put in to improve these, with the increasing importance of the services in wake of structural adjustment and liberalisation in the economy, we may get into two alternative scenarios. 

One, economic and social position of workers in the services sector will steadily go down since real incomes cannot be higher than productivity for any extended length of time. This means economic stagnation and consequent social tensions. 

Two, the workers in this sector will use their numerical strength to get wages higher than their economic contribution justified. This will impoverish others?reducing everyone's income and increasing unemployment, for example, personnel having technical skills.  The knowledge, the workers have about their job, is the starting point for improving productivity, quality and performance. Partnership with other equally knowledgeable workers is the only way to ensure higher productivity and quality.  

Posted Date: 11/10/2012 3:20:06 AM | Location : United States







Related Discussions:- Limitations of the services sector, Assignment Help, Ask Question on Limitations of the services sector, Get Answer, Expert's Help, Limitations of the services sector Discussions

Write discussion on Limitations of the services sector
Your posts are moderated
Related Questions
Jane receives utility from days spent travelling on vacation domestically(D) and days

Depreciation T ax Shield The decrease in corporate income taxes suitable to the deductibility of depreciation from the firm's taxable earnings.  Although depreciat

critical of comparative advantage theory

#question.Now suppose nation A has RA resources in its treasury and nation B has RB resources. The winning coalition in each nation is WA and WB respectively. Leaders want to survi

2) Proctor & Gamble (P&G) and the Lever Co. decide to form a laundry detergent cartel for future sales in Europe. Lever is more efficient than P&G. a)illustrate graphically how the

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Briefly explain the main macroeconomic objectives of governments. Definition of macroeconomic issues Growth a)      Enhance in national income per unit of time, a


what is micro economics

Tax Policy Implementation:   Take, e.g., the case of tax policy. It attempted to raise resources by a combination of direct and indirect taxes to finance a large part of increa