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Indeed when our 80% of economy is controlled in the private hands so India is a capitalist countries

Using Wikipedia as reference, the definition of capitalism is:

"An economic and social system in which capital and land, the non-labor factors of production (also known as the means of production), are privately owned; labor, goods and resources are traded in markets; and profit, after taxes, is distributed to the owners or invested in technologies and, industries."

With the aforesaid definition in mind, India can be listed as a capitalist nation. However with that said, I must add, a rather crony capitalist nation. Heavy taxation and government regulation of the market have led to a rather mixed-economy, which is now neither strictly capitalist or socialist-inspired.

India's economy has reformed since 1991, before which it was a socialist-inspired system characterized by extensive regulation, protectionism and public ownership. Since 1991, economic liberalization has led to a market-based system. However, income taxes are imposed on taxable income of individuals, Hindu Undivided Families, companies, firms, co-operative societies, trusts and any other artificial person*. The levy of these taxes is governed by the Indian Income Tax Act of 1961. Apart from the income taxes, numerous regulatory taxes are also imposed upon trade. This includes duties of customs (including export duties), duties of excise on listed goods manufactured in India, Corporation taxes, taxes on capital, estate duties, duties in respect of succession, terminal taxes on goods and passengers carried by railway, sea or air, stamp duties, taxes on transactions in stock exchange(s), taxes on the sale or purchase of newspapers and on advertisements published therein, taxes on sale or purchase of goods other than newspapers, taxes on the consignment of goods, land revenue, taxes on agricultural income (income in the form of harvest), taxes on mineral rights, taxes on entry of goods into a local area for consumption or use or sale, taxes on the consumption or sale of electricity, taxes on all forms of advertisement, taxes on automobiles and vehicles, taxes on animals and boats, tolls, taxes on profession, trades, callings and employments, capitation taxes, taxes on luxuries, including taxes on amusement, entertainment or betting and gambling, service taxes, sales taxes and so on. You get the idea, hopefully.

*artificial person: a corporation or politic body, representing a unified front as an individual, more commonly called a "legal person". This term is used in contrast to a natural, or real person.

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8y ago
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Q: Is India a capitalist country
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