Which Five Year Plan of India focused on rapid industrialization based growth process?
- A.First Five Year Plan
- B.Second Five Year Plan
- C.Fifth Five Year Plan
- D.Seventh Five Year Plan
Show answer
Correct answer: B. Second Five Year Plan
Explanation
The correct answer is B, Second Five Year Plan. The Second Plan (1956 to 1961) was built on the model of the statistician P. C. Mahalanobis and aimed at rapid industrialisation with a stress on heavy and basic industries such as steel, machinery and chemicals, on the belief that machines to make machines would speed up growth. The three public sector steel plants at Bhilai, Rourkela and Durgapur, set up with Soviet, German and British help, belong to this plan, and the Industrial Policy Resolution of 1956 gave the public sector the commanding heights of the economy. The plan ran into a foreign exchange crisis and its target growth of 4.5 percent was not fully met. A, the First Plan (1951 to 1956), followed the Harrod-Domar model and gave priority to agriculture, irrigation and power. C, the Fifth Plan (1974 to 1979), focused on poverty removal and self-reliance under the slogan Garibi Hatao. D, the Seventh Plan (1985 to 1990), stressed food, work and productivity. Exam tip: Second Plan means the Mahalanobis model, heavy industry, and Bhilai, Rourkela, Durgapur.