The growth of an economy depends upon a multiplicity of factors such as the rate of capital formation, rate of growth of population, efficiency of the money and capital markets, availability of the required quantum and type of labour force, availability of natural resources, economic and political stability, administrative efficiency, role of social and cultural values, development of means of transport and communications, rise in standard of health and education etc., of all the factors which are affecting the rate of growth of an economy in developing countries is the capital accumulation. Further it is accepted by all the economists who are concerned with this problem that the capital accumulation plays a predominant role for economic growth of any country. Hence, economic growth is a direct function of the rate of capital formation and the experiences of advanced countries reveal that they could achieve economic growth through well developed capital markets.

Study with reference to state aid to small business units in Anantapur District in the state of Andhra Pradesh, India, financed by the Andhra Pradesh State Financial Corporation; covers the period from 1960 to 1989.

In India, for a planned economy, greater emphasis has been placed on industrial development since the early years of planning. The second Five Year Plan accorded high priority to rapid industrialisation with particular emphasis on low development of basic and heavy industries. Since then attempt have been made to strengthen the industrial base of the country for a more rapid advancement. Rural Industrialisation is a concerted effort made in this direction. Small-scale industries have been occupied an important place in the planned process of industrialisation in Indian economy as they can be easily dispersed over rural and economically backward areas and can help in raising incomes.

Based On Solid Research, This Book Is The First Of Its Kind On Rayalaseema, A Drought-Prose Region In Andhra Pradesh. Pointing Out The Topographical Limitations, It Gives Reasons For The Region`S Economic Backwardness.