Politics of Planned Development

Chapter 3

Politics of Planned Development

Q. What is development?

Ans: The word development has different meanings for different sections of the people. For example, to an industrialist who is planning to set up a steel plant, to an urban consumer of steel and to the Adivasi who lives in that region. Now, people refer to the west as the standard for measuring development. Development was about becoming more modern. 

Q. What were the two models of modern development of India , on the eve of Independence?

Ans: The two models of modern development were : 

a) the liberal - capitalist model; as in Europe and the US.

b) the socialist model ; as in the USSR.

Q. What is Bombay plan?

Ans:  In 1944 , a section of the big industrialists got together and drafted a joint proposal for setting up of a planned economy in the country. It was called the Bombay plan.

      

           The Bombay plan wanted the state to take major initiatives in industrial and other economic investments. 

Q. Who was the chairperson of planning commission?

Ans: The Prime Minister of India.

Q. How is the budget of the central government and state governments divided?

Ans: The budget of the central government and state governments divided into two parts:

a) non - plan budget; that is spent on routine items on a yearly basis.

b) plan budget; that is spent on a five year basis as per the priorities fixed by the plan .

Q. What is the advantage of a five year plan?

Ans: A five year plan has the advantage of permitting the government to focus on the larger picture and make long - term intervention in the economy.

Q. The draft of first five year plan was released in

a) 1950

b) 1951

c) 1952

d) 1953

Ans: 1951 .( December) 

Q. Second five year plan was released in

a) 1950

b) 1951

c) 1952

d) 1956

Ans: 1956.

Q. Third five year plan was released in 

a) 1950

b) 1951

c) 1961

d) 1956

Ans: 1961

Q.Fourth five year plan was released in 

a) 1950

b) 1966

c) 1961

d) 1956

Ans: 1966.

Q. What is NITI Aagoy?

Ans: The Government of India replaced the Planning Commission with a new institution named NITI Aagoy. The full form is National Institution for Transforming India. The Aayog  came into existence on 1 January 2015 .

Q. Write about first five year plan.

Ans: The First Five Year Plan ( 1951 - 1956 ) sought to get the country's economy out of the cycle of poverty. K. N. Raj argued that India should 'hasten slowly ' for the first two decades as a fast rate of development might endanger democracy.

                         The First Five Year Plan addressed the agrarian sector including investment in dams and irrigation. Agricultural sector was hit hardest by Partition and needed urgent attention. Huge allegations were made for large - scale projects like Bhakhra Nangal Dam. 

                          The plan identified the pattern of land distribution in the country as the main hindrance in the way of agricultural growth. It focused on land reforms as the key to the country's development.

                            One of the basic aims of the planners was to raise the level of national income. The planners sought to push savings up. 

Q. Write about the goals and objectives of Second Five Year Plan.

Ans: The Second Five Year Plan stressed on heavy industries. This plan was drafted by a team of economists and planners under the leadership of P.C. Mahalanobis. 

             The Second Five Year Plan wanted to bring about quick structural transformation by making changes simultaneously in all possible directions. Before this plan was finalised , the Congress declared that ' socialist pattern of society' was its goal. This was reflected in the Second plan.  The government imposed substantial tariffs on imports in order to protect domestic industries. Such protected environment helped both public and private sector industries to grow. As savings and investment were growing, a bulk of the industries like  electricity, railways , steel , machineries and communication could be developed in the public sector. Indeed , such a push for industrialisation marked a turning point in India's development.

Problems in Second five year plan:

a) India was technologically backward ,so it had to spend precious foreign exchange to buy technology from the global market.

b)As industry attracted more investment than agriculture  , the possibility of food shortage loomed large.

c) The Indian planners found balancing industry and agriculture more difficult.

Q. Write about P . C . Mahalanobis.

Ans: P .C. Mahalanobis (1839-1972) was a scientist and statistician of international repute. He was the founder of Indian Statistical Institute (1931). He was the architect of the Second Plan. Mahalanobis was a supporter of rapid industrialisation and played an active role of the public sector.

Q. What is the ' Kerala Model'?

Ans: 'Kerala Model' is developed in the state of Kerala. This model has been focusing on education, health, land reform, effective food distribution, and poverty alleviation. Through this model, Kerala achieved nearly total literacy, long life expectancy, low infant and female mortality, low birth rates and high access to medical care . 

           Between 1987 and 1991 , the government launched the new Democratic initiative which involved campaigns for development. The state has also taken initiative to involve people in making plans at the Panchayat, block and district level.

Q. Who was J.C. Kumarappa?

Ans: J. C. Kumarappa ( 1892- 1960) was a member of planning commission. His original name was J. C. Cornelius. He was an economist and chartered accountant. He studied in England and USA. He was the follower of Mahatma Gandhi. He tried to apply Gandhian principles to economic policies. He was the author of ' Economy of Permanence' . He participated in planning process as member of the Planning Commission.

Q. Who is known as ' Milkman of India '?

Ans: Verghese Kurien.

Q. What is green revolution?

Ans: Due to food crisis in 1960s, the government of India started green revolution to stand with the crisis. The government offered high - yielding variety seeds , fertilizers, pesticides, and better irrigation at highly subsidised prices. The government also gave a guarantee to buy the produce of the farmers at a given price. This was the beginning of green revolution.

Problems of green revolution:

a) The rich peasants and the large landholders were the major beneficiaries of the process.

b) The green revolution derived only a moderate agriculture growth ( mainly a rise in wheat production) and raised the availability of food in the country, but increased polarisation between classes and regions. Some regions like Punjab, Haryana, and western Uttar Pradesh became agriculturally prosperous, while others remained backward.

c)  In many parts, the stark contrast between the poor peasantry and the landlords produced conditions favourable for leftwing organisations to organise the poor peasants.

d) The green revolution also resulted in the rise of what is called the middle peasant sections.