Indian economy is a developing economy and it is having some undesirable situations that exist in the economy in the form of-

• Unemployment,
• Chronic poverty,
• The high growth rate of population,
• Illiteracy, etc.

These problems arise when the economy would not able to achieve the long -term goals and objectives and potential level of output. This, in turn, reduces the efficiency of the economy. We can get a complete picture of the macroeconomic problem of the Indian economy by its yearly performance and the statistics provided by the department of economic affairs, in the 'economic survey'. Although, the three major concerns associated with the economic problems include:

• The level of national output,
• Rate of unemployment, and
• Price changes (inflation).