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NITI Aayog & Planning — Set 9

Economy Advanced · नीति आयोग और नियोजन · Questions 8190 of 120

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1

Under the Five Year Plans, the 'Public Sector Undertakings' (PSUs) were primarily established to:

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Correct Answer: B. Control strategic sectors and generate employment

PSUs were established primarily to control strategic sectors (like steel, oil, defence), develop infrastructure, and generate employment in areas where private capital was not forthcoming. The Industrial Policy Resolution 1956 justified public sector expansion on grounds of equity and strategic importance. Many PSUs ran at losses, which was seen as a social cost for maintaining employment. The 1991 reforms led to disinvestment and privatization of several PSUs.

2

The 'License-Permit-Quota Raj' was a term coined to describe India's:

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Correct Answer: B. System of industrial and import licensing

'License-Permit-Quota Raj' was a term coined to describe India's elaborate system of industrial licensing, import permits, and production quotas that characterized the planning era from the 1950s to 1990. The term was popularized by economist Raj Krishna. The system was intended to direct investment toward planned priorities but instead created inefficiencies, corruption, and Inspector Raj. The 1991 reforms dismantled much of this system.

3

NITI Aayog has a 'Knowledge and Innovation Hub' known as:

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Correct Answer: A. AIM (Atal Innovation Mission)

NITI Aayog's 'Knowledge and Innovation Hub' is effectively the Atal Innovation Mission (AIM), which drives innovation and entrepreneurship in India. AIM operates Atal Tinkering Labs, Atal Incubation Centres, and Atal Community Innovation Centres. It also runs the Atal New India Challenges (ANIC) and the ARISE (Accelerating Innovation and Research through SPRINTs for Enterprises) programme. AIM has become India's primary public sector innovation hub.

4

The 'Fourth Five Year Plan' (1969-74) was formulated during which PM's tenure?

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Correct Answer: C. Indira Gandhi

The Fourth Five Year Plan (1969-74) was formulated and implemented during Prime Minister Indira Gandhi's tenure. Key events during this period included bank nationalization (1969), the Bangladesh Liberation War (1971), and the first oil shock (1973). The plan also saw the launch of IRDP (Integrated Rural Development Programme) and SFDA (Small Farmers Development Agency). The 'Garibi Hatao' slogan became politically dominant during this period.

5

The Indian planning process included 'perspective plans' that covered:

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Correct Answer: D. 20-25 years

'Perspective Plans' in Indian planning typically covered a long-term horizon of 20-25 years. They provided the long-term vision within which Five Year Plans were formulated. The Perspective Plan 1961-76 and Perspective Plan 2011-36 are examples. These long-term frameworks helped ensure consistency in development priorities across multiple Five Year Plans. NITI Aayog's Vision 2047 serves a similar long-term perspective function.

6

The 'NITI Aayog Innovation Index' specifically measures innovation capacity across:

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Correct Answer: B. States and Union Territories

The NITI Aayog India Innovation Index measures innovation capacity across all states and Union Territories of India. It ranks them based on innovation enablers (human capital, research ecosystem, infrastructure, economic dynamism) and innovation outcomes (knowledge output, competitiveness). This subnational approach to measuring innovation is unique and helps identify state-level strengths and weaknesses. Karnataka, Tamil Nadu, and Telangana have consistently ranked high.

7

The 'Steel Authority of India Limited (SAIL)' was established during which plan period?

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Correct Answer: C. Fifth Plan

SAIL (Steel Authority of India Limited) was established in 1973 during the Fifth Five Year Plan period. It was created to manage and integrate the three major steel plants set up during the Second Plan period (Bhilai, Rourkela, Durgapur) under a single public sector entity. SAIL is one of the largest steel-producing companies in Asia. It came under the Ministry of Steel and is listed on Indian stock exchanges.

8

Under NITI Aayog, which programme specifically focuses on improving outcomes in the 112 most backward districts?

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Correct Answer: B. Aspirational Districts Programme

The Aspirational Districts Programme (ADP) specifically focuses on improving outcomes in the 112 most backward districts across India. These districts were selected based on their performance across health, education, nutrition, agriculture, and basic infrastructure indicators. The programme uses 'convergence' of government schemes and 'competitive federalism' among districts. NITI Aayog monitors progress and publishes monthly rankings of these districts.

9

The 'Niti Aayog's SATH-E' programme focused on which sector?

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Correct Answer: C. Education

NITI Aayog's SATH-E (Sustainable Action for Transforming Human Capital - Education) programme focused on transforming the education sector in three pilot states: Jharkhand, Madhya Pradesh, and Odisha. The programme helped these states develop reform roadmaps to improve learning outcomes. It ran from 2017-2020 and created a model for other states to follow. A parallel SATH programme focused on healthcare (Assam, Gujarat, Karnataka).

10

The 'Second Five Year Plan' target was to increase the share of which sector in GDP?

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Correct Answer: B. Industry from about 17% to 28%

The Second Five Year Plan (1956-61) aimed to significantly increase the share of industry in GDP, particularly heavy capital goods industries. The plan sought to transform India from a primarily agrarian economy to an industrial one. Mahalanobis's two-sector model justified this shift by arguing that capital goods production would accelerate long-term growth. However, the emphasis on heavy industry came at the cost of neglecting consumer goods and agriculture.