In which Five-Year Plan was advocated planning shifted from agriculture to industries?
- A.Third
- B.Fourth
- C.Second
- D.Fifth
Correct answer
Explanation
The correct answer is C, Second. The Second Five-Year Plan, 1956 to 1961, moved the focus from farming to rapid industrialisation, especially heavy and basic industries. It was built on the Mahalanobis model, drawn up by the statistician P. C. Mahalanobis, which argued that investing in machine-making and steel would give faster long-run growth. Three public-sector steel plants came up in this plan: Bhilai with Soviet help, Rourkela with West German help and Durgapur with British help. The First Plan, 1951 to 1956, had put agriculture, irrigation and power first, on the Harrod-Domar model. A is wrong because the Third Plan, 1961 to 1966, aimed at a self-reliant, self-generating economy and was hit by the wars of 1962 and 1965. B is wrong because the Fourth Plan, 1969 to 1974, aimed at growth with stability and progressive achievement of self-reliance. D is wrong because the Fifth Plan, 1974 to 1979, made removal of poverty its main goal. Exam tip: First plan farms, Second plan factories on the Mahalanobis model, Fifth plan Garibi Hatao.
Practice Questions
View allAccording to the law of diminishing marginal utility, as the amount of a good consumed increases, the marginal utility of that good tends to
- A.improve
- B.diminish
- C.remain constant
- D.first diminish and then improve
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Each extra unit of a good gives a consumer less additional satisfaction than the unit before it, so marginal utility falls as consumption rises.
Read the full explanation →Consider the following statements about impact of tax : 1. A tax is shifted forward to consumers if the demand is inelastic relative to supply. 2. A tax is shifted backward to producers if the supply is relatively more inelastic than demand. Which of the statements given above is/are correct?
- A.1 only
- B.2 only
- C.Both 1 and 2
- D.Neither 1 nor 2
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The burden of a tax falls more heavily on whichever side of the market is less elastic, the side that cannot easily walk away.
Read the full explanation →UBI, as an alternative for subsidies in poverty alleviation, stands for
- A.Union Basic Income
- B.Undefined Basic Income
- C.Unconditional Basic Income
- D.Universal Basic Income
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UBI is the idea of paying every citizen a fixed sum of money regularly, without conditions, in place of a large number of separate subsidies and welfare schemes.
Read the full explanation →Who among the following is the Chairman of the Fourteenth Finance Commission?
- A.C. Rangarajan
- B.Vijay Kelkar
- C.Y. V. Reddy
- D.Rakesh Mohan
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The Fourteenth Finance Commission, set up in 2013 for the award period 2015-2020, was chaired by Y. V. Reddy, a former Governor of the Reserve Bank of India.
Read the full explanation →Why was constitutional amendment needed for introducing GST?
- A.States were not willing to agree with the Union for introduction of GST without amendment in the Constitution.
- B.GST was to be implemented on concurrent base and Article 246 was inadequate for such a case.
- C.The Empowered Committee of Finance Ministers had recommended for constitutional amendment.
- D.The GST Council had recommended for constitutional amendment so that its power enhances.
Show answer
GST is levied by the Union and the States together on the same supply, and Article 246, which splits taxing powers between them through separate lists, did not allow such a concurrent tax.
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