Indian Economy GK Questions with Answers – Page 52

The reverse repo rate is what the Reserve Bank pays banks when it takes their surplus cash for a short period.

Dairying takes its produce directly from nature, so it belongs to the primary sector. Economic activity is usually grouped in three sectors.

Net Domestic Product is what is left of the domestic product after setting aside the wear and tear of capital.

Zero-based budgeting was first put to use in the United States. Peter Pyhrr developed it at Texas Instruments around 1970, and Jimmy Carter, then Governor of Georgia, applied it to a state budget in 1973 and later carried it to the federal government as President.

A hawkish stand means the central bank is more worried about inflation than about slow growth, so it leans towards raising the policy rate and tightening money.

The all-India Index of Industrial Production is compiled with 2011-12 as its base year, a revision announced in 2017 that replaced the older 2004-05 base.

The public sector is owned and run by the government, and its guiding aim is social welfare rather than profit.

National income is estimated by three standard methods — the product or value-added method, the income method and the expenditure method — and there is no banking method.

Net National Product is simply Gross National Product minus depreciation, that is NNP = GNP − Depreciation.

In the Union Budget, money coming to the government is split into revenue receipts and capital receipts, and the test is exactly this one.

India's first Industrial Policy Resolution was announced on 6 April 1948 by Shyama Prasad Mukherjee, the first Industry Minister.

NITI Aayog advises the Union and the state governments, prepares strategy, monitors programmes and acts as a forum for the states, but no money passes through it; that is the sharpest difference from the Planning Commission it replaced.

The mission promotes a culture of innovation and enterprise, chiefly through tinkering laboratories in schools and incubation centres in colleges and institutions, and it is run under NITI Aayog as part of its role as the government think tank.

It ran from 2012 to 2017 with the aim of faster, more inclusive and sustainable growth, and when it ended no thirteenth plan followed, because NITI Aayog had replaced the Planning Commission and put a long-term vision with a shorter action agenda in place of five year plans.

The National Development Council was set up on 6 August 1952 by an executive resolution so that the states could take part in national planning; chaired by the Prime Minister, it included the chief ministers and the members of the Planning Commission, and it gave a plan its final approval…

The engineer and statesman set out a ten year programme to move labour from agriculture into industry, and his book of 1934 is treated as the first systematic proposal for planning in India.

The Governing Council brings together the Prime Minister, the chief ministers of all the states, the chief ministers of union territories that have legislatures and the lieutenant governors of the remaining union territories, so that the Union and the states can settle priorities in one room.

The office of Prime Minister carries the chairmanship of NITI Aayog, exactly as it carried the chairmanship of the Planning Commission before 2015 and as it carries the chairmanship of the Governing Council and of the National Development Council.

Running from 1974 to 1979, it took the removal of poverty and the attainment of self-reliance as its twin objectives, and it is remembered by the slogan Garibi Hatao.

The plan of 1961 to 1966 was overwhelmed by the war with China in 1962, the war with Pakistan in 1965 and a severe drought, so instead of a new five year plan the government ran three annual plans from 1966 to 1969, a stretch called the plan holiday.