Five Year Plans — Set 2

Correct Answer: D. Fourth Plan

• **Fourth Plan** = The Gadgil Formula was first utilised during the Fourth Five Year Plan (1969-74) to distribute central plan assistance among states. • **Population 60% weightage** — It allocated 60% weightage to population, with additional criteria for per capita income and backwardness in the distribution formula. • 💡 Wrong-option analysis: Third Plan: the Gadgil Formula was introduced in the Fourth Plan, not the Third; Second Plan: the Second Plan predates the Gadgil Formula entirely; Fifth Plan: the formula was introduced in the Fourth Plan, not the Fifth.

Correct Answer: A. Eleventh Plan

• **Eleventh Plan** = The Eleventh Five Year Plan (2007-2012) formally adopted 'Towards Faster and More Inclusive Growth' as its central theme. • **9% growth target** — It aimed to achieve a 9% average annual growth rate and reduce the poverty ratio by 10 percentage points. • 💡 Wrong-option analysis: Tenth Plan: it focused on doubling per capita income, not formalising inclusive growth as its main theme; Twelfth Plan: it added 'Sustainable' to the growth objective; Ninth Plan: it focused on 'Growth with Social Justice and Equality'.

Correct Answer: D. Concurrent List

• **Concurrent List** = Economic and Social Planning is listed as item number 20 in the Concurrent List of the Seventh Schedule of the Indian Constitution. • **Both Centre and States legislate** — Being on the Concurrent List means both the central and state governments can formulate and implement developmental plans. • 💡 Wrong-option analysis: Residuary Powers: residuary powers belong to Parliament under Article 248, not to the Concurrent List; Union List: it covers items exclusively legislated by Parliament; State List: it covers subjects exclusively for state legislatures.

Correct Answer: D. Fifth Plan

• **Fifth Plan** = The Minimum Needs Programme (MNP) was launched during the Fifth Five Year Plan (1974-78) to provide basic services to the masses. • **Seven basic services** — It covered rural health, rural water supply, nutrition, primary education, rural roads, rural electrification, and housing for the rural poor. • 💡 Wrong-option analysis: Fourth Plan: the MNP was introduced in the Fifth Plan, not the Fourth; Sixth Plan: the Sixth Plan expanded MNP but it was originally launched in the Fifth Plan; Seventh Plan: the Seventh Plan focused on 'Food, Work and Productivity'.

Correct Answer: C. Gulzarilal Nanda

• **Gulzarilal Nanda** = Gulzarilal Nanda served as the first Deputy Chairman of the Planning Commission while Jawaharlal Nehru was the ex-officio Chairman. • **Functional head of commission** — The Deputy Chairman was the functional head responsible for day-to-day operations and coordination of the Planning Commission. • 💡 Wrong-option analysis: Jawaharlal Nehru: he was the ex-officio Chairman by virtue of being PM, not the Deputy Chairman; V. T. Krishnamachari: he was Nanda's successor as Deputy Chairman; C. D. Deshmukh: he was the first Indian Finance Minister, not Deputy Chairman of the Planning Commission.

Correct Answer: B. Plan Holiday (Annual Plans)

• **Plan Holiday (Annual Plans)** = The Green Revolution was initiated in the mid-1960s coinciding with the Annual Plans period (1966-69). • **HYV seeds and modern irrigation** — High-yielding variety (HYV) seeds of wheat and rice, combined with modern irrigation and fertilisers, boosted food grain production significantly. • 💡 Wrong-option analysis: Fifth Plan: the Green Revolution was already underway before the Fifth Plan started in 1974; Fourth Plan: the Green Revolution began during the Annual Plans period, before the Fourth Plan started in 1969; Second Plan: the Second Plan focused on heavy industry, not agricultural revolution.

Correct Answer: B. Eighth Plan

• **Eighth Plan** = The Eighth Five Year Plan (1992-97) achieved a growth rate of 6.8% against a target of only 5.6%, the highest overachievement of any plan. • **5.6% target, 6.8% achieved** — This outstanding performance was driven by the economic liberalisation reforms introduced after the 1991 balance of payments crisis. • 💡 Wrong-option analysis: First Plan: while the First Plan exceeded its target, it had a lower absolute growth rate; Eleventh Plan: it targeted 9% growth and achieved around 8%; Fifth Plan: it was terminated early by the Janata Government in 1978.

Correct Answer: D. Tenth Plan

• **Tenth Plan** = The Tenth Five Year Plan (2002-07) aimed to double the per capita income of the country within the next 10 years. • **8% growth target, poverty to 15%** — It set an ambitious GDP growth target of 8% per annum and aimed to reduce the poverty ratio to 15% by 2007. • 💡 Wrong-option analysis: Twelfth Plan: it aimed for 8-9% growth but not specifically for doubling per capita income; Ninth Plan: it focused on 'Growth with Social Justice'; Eleventh Plan: it targeted 9% growth and inclusive growth, not doubling per capita income.

Correct Answer: D. Second Plan

• **Second Plan** = The Second Five Year Plan (1956-61) is often called the 'Industrial and Transport Plan' due to its heavy emphasis on steel plants and railway expansion. • **20% outlay for industry** — It allocated nearly 20% of total outlay to industrial development, establishing the public sector as the commanding height of the economy. • 💡 Wrong-option analysis: Fourth Plan: the Fourth Plan focused on agriculture and stability with growth after wars; First Plan: the First Plan was primarily an agricultural plan focused on irrigation; Third Plan: the Third Plan aimed at self-reliant development but was disrupted by wars.

Correct Answer: B. Leading Industrialists

• **Leading Industrialists** = The Bombay Plan was a set of economic proposals for post-war India presented by eight leading industrialists in January 1944. • **₹10,000 crore investment proposed** — It proposed massive state investment of around ₹10,000 crore over 15 years to develop heavy industries. • 💡 Wrong-option analysis: Socialist Thinkers: the People's Plan by M. N. Roy was socialist-inspired, not the Bombay Plan by industrialists; Freedom Fighters: freedom fighters focused on political independence, not this type of economic blueprint; Agricultural Unions: agricultural unions did not draft the Bombay Plan.