Why is India economy regarded as an under developed economy? State its basic characteristics.

India’s economy has often been regarded as underdeveloped due to a combination of factors related to its level of industrialization, standard of living, and overall economic infrastructure. Several key characteristics define this status and highlight the challenges that the Indian economy faces. Below are the basic characteristics that contribute to India being classified as an underdeveloped economy.

1. Low Per Capita Income

One of the primary indicators of an underdeveloped economy is low per capita income. India has a large population, which dilutes its overall income. Despite its significant GDP growth in recent years, the country's per capita income remains relatively low compared to developed nations. This implies that a substantial portion of the population lives below the poverty line, struggling with inadequate access to basic necessities like food, health care, and education.

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