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
Correct answer
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.
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.
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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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