the recession which started from u.s had prpogated the

entire world and now the entire world is facing the problem

of global crisis. if india is to be considered we find that

india is not that much affected as other european

countries. to my view the most probable reason for this is

that india being an agricultural economy. but india will

face the heat of this economic recession very soon mainly

beacause a large share of gdp comes from service sector

which contributes 52% of the total gdp. the recession will

affect the countries outsourcing industry whereby it

provides it services to western countries. many reputed

companies have started layoffs for eg. wipro laid off about

1000 employees and is planning to lay off another 2000 who

are put under scanner. take the case of satyam compiters

who have given pink slips to about 4500 employees which

constitutes about 9% of its total strenth of 51000

employees. this reputed firms say that the layoffs are

performance based and those who cannot perform will perish.

but the matter of fact being that these people are paying

the price for economic recession