Politics of Planned Development: NBSE Class 12 Political Science

Politics of Planned Development nbse class 12
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Get summary, textual answers, solutions, notes, extras, PDF to NBSE Class 12 (Arts) Political Science Chapter 4 Politics of Planned Development. However, the educational materials should only be used for reference and students are encouraged to make necessary changes.


This chapter discusses the politics of planned development in India, focusing on the models of development, the idea of planning, the Planning Commission, the Five-Year Plans, the National Development Council, an evaluation of the planned development and the Planning Commission, NITI Aayog, and the Green Revolution.

The chapter begins by highlighting the different perspectives on development. For instance, in 2006, displaced people in Jagatsinghpur district (Odisha) protested against the government’s policy to allow a Korean company to set up a plant in their region, viewing it as a threat to their livelihood. This incident illustrates that while everyone wants development, their ideas of development differ.

The chapter then discusses the two broad models of development: the Liberal-Capitalist Model and the Socialist Model. The Liberal-Capitalist Model, prevalent in the USA and Western Europe, relies on market forces of demand and supply, with minimal state intervention. The Socialist Model, exemplified by the former Soviet Union, features complete state ownership of all means of production, centralized planning, and absence of market-oriented decisions.

The chapter also explores the idea of planning in India, which derives its objectives from the Directive Principles of State Policy. The Planning Commission, set up in 1950, aimed to achieve economic well-being through optimum utilization of the country’s resources. Its objectives included increasing national income, promoting social justice, self-reliance, environmental protection, increasing agricultural and industrial production, and growth in investment rate.

The chapter concludes with a discussion on the Green Revolution and its shortcomings, such as promoting regional inequalities, widening the gap between the rich and the poor, and causing environmental degradation due to excessive use of fertilizers and pesticides. It also mentions the need for an “Evergreen Revolution”, i.e., producing more on less land and less water.

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Textual questions and answers

A. Long answer questions

1. What were the two main models of development that India had before it at the time of Independence? Why did India adopt a Mixed Economy Model?

Answer: During the post-Independence period, India had before it two broad models of development: the Liberal-Capitalist Model and the Soviet or the Socialist Model. In a Capitalist Economy, the production and distribution of goods and services depend on the market forces of demand and supply. The Soviet economy was marked by complete State-ownership of all means of production, Centralised Planning, and absence of Market-oriented decisions. 

India chose to have a Mixed Economy where both sectors-Private and Public—had a role to play. A Mixed Economy is a combination of both: the liberal-capitalist model and the socialist model. During the early years of planning a predominant role was assigned to ‘public or state sector’ in developing basic and heavy industries for which the private sector (the industrialists) did not have much resource. The private sector would produce whatever goods it could produce well and the state sector produced those essential and strategic goods which it was difficult for private entrepreneurs to produce

2. Examine the main objectives of the Planning Commission.

Answer: the main objectives of the Planning Commission were as follows:

Increasing National Income and the Growth Rate: The aim was to increase national income and improve the living standards of the people.

Social Justice i.e., Removal of Poverty and Reduction in Economic Inequalities: This objective involved the removal of poverty and the satisfaction of basic minimum needs, such as food, clothing, healthcare, and housing. It also aimed at reducing inequalities of income and wealth, and taking proper care of the oppressed sections of society the SCs, STs, women, and the backward classes.

Self-Reliance: The goal was to reduce dependence on foreign aid and foreign loans, as the donors often sought to influence the decision-making process of dependent countries.

Environmental Protection: In order to achieve “Sustainable Development”, environmental protection was made an integral part of the development process.

Increase in Agricultural and Industrial Production: This objective implied rural development, improvement in technology, and infrastructure facilities, such as transport, communications, power supplies, and banks, which enable industries to grow.

Growth in Investment Rate: The government sought foreign investment in core sectors also, such as power generation and construction and maintenance of highways and airdromes.

3. Discuss the role and functions of the Planning Commission.

Answer: The role and functions of the Planning Commission were as follows:

Assessment of Country’s Resources: The Planning Commission was responsible for making an assessment of the country’s resources before formulating the Plan. This included assessing the country’s capital and human resources, such as manpower, wealth, material goods, minerals, land, and water resources.

Plan Formulation: The Planning Commission formulated the Plan which had to be approved by the National Development Council.

Determining Priorities for Various Programmes: Despite all the plans having similar objectives, there were variations in the priorities of different plans. For instance, top priority was given to agriculture in the First Plan. The main objectives of the Second Plan were rapid industrialisation and the development of basic and heavy industries.

Long-term Strategy of Development: The Planning Commission kept a constant watch on the long-term strategy, so that the entire socio-economic structure could be suitably changed.

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6. Discuss the role and functions of the NITI Aayog.

Answer: The role and functions of the NITI Aayog are as follows:

Provides Strategic and Technical Advice: This institution provides the Central and State governments and other developmental agencies strategic and technical advice regarding key policy factors.

Develops Mechanism to Formulate Credible Plans : Sometimes such plans may be framed at the village level and then arranged in ascending order. In that case each Plan will be bigger than the Plan before it. But such Plans are credible or trustworthy, because they are not imposed by the Centre on lower levels of governance, such as States, Districts or Villages.

A Collaborative Platform to evaluate the Implementation of Programmes: It is a Collaborative Platform, since it has the representation of both the Union and State Governments. The NITI Aayog does not formulate or frame plans. It simply monitors and evaluates implementation of policies and programmes.

Makes Improvements and Necessary Mid-course Corrections: It has already been mentioned that NITI Aayog monitors and evaluates the implementation of plans and programmes. In that case it can make corrections to make the Plan better, so as to ensure the success of the Plan.

Research Papers and Model Rules : NITI Aayog publishes research papers on development issues i.e., education, growth of business and industry, banking business, making land and water more useful and developmental needs of children. That helps the Centre, States and other bodies to reform their policies.

A Repository of Research on Good Governance : Good Governance includes many things, such as (i) people’s participation in governance through urban and rural local bodies (Municipal and Panchayati Raj Institutions), (ii) Civil Society and Human Rights Agencies’ involvement in development process, (iii) Transparency and efficiency in administration, and (iv) Strengthening the Right to Information Act. NITI Aayog publisises information on these topics as well.

Genuine and Continuing Partnership between Centre and States to achieve National Objectives: Strong States make a strong Nation. NITI Aayog seeks to achieve its objectives by means of active cooperation between Government of India and States and between States themselves. It sees to it that they all work together as equals.

7. Examine the main differences between the Planning Commission and the NITI Aayog.

Answer: The main differences between the Planning Commission and the NITI Aayog are as follows:

The Planning Commission had powers to allocate funds to different Ministries and State Governments. On the other hand, NITI Aayog is a ‘Think-Tank’ or an ‘Advisory Body’. Power to allocate funds now lies with the Finance Ministry.

States’ participation in the planning process was by means of the National Development Council (NDC) in the case of the Planning Commission. In contrast, NITI Aayog is founded on the principle that the States will have a greater say in policy formulation and policy implementation.

The issues of National Security had no place in the Plan intended to achieve economic growth under the Planning Commission. One of the functions of the NITI Aayog is to deal with the needs of National Security along with matters relating to economic growth.

The Planning Commission formulated Central Plans. NITI Aayog does not formulate plans. It holds consultations with State Governments while making policy decisions. Allocation of funds by Finance Ministry is also done in consultation with States.

The Planning Commission had a full-fledged Secretariat consisting of a Secretary and a few Joint-Secretaries. NITI Aayog has a Chief Executive Officer (CEO) to be appointed by the Prime Minister for a fixed tenure.

In addition to Chairman and Deputy Chairman, the Planning Commission had eight full-time Members. NITI Aayog has lesser full-time Members and more of Part-time Members, including experts, specialists and special Invitees nominated by the Prime Minister.

8. What was the Green Revolution? What were its main economic benefits?

Answer: the Green Revolution was a momentous event in Indian history. It was the result of a ‘combination of improved practices’ such as the use of High-Yielding Variety (HYV) Seeds of wheat, rice, millet, and corn, chemical fertilizers, pesticides, extensive irrigation, and modern agricultural implements, such as tractors and harvesters. The Government provided these goods at subsidized (heavily reduced) prices, making it cheaper for the farmers to buy them. The development of markets ensured that the farmer’s produce would be bought by the government at a fair price. This information was found on page 14 of the document.

The main economic benefits of the Green Revolution were:

Increased Productivity: By adopting the new agricultural strategy, the peasants, especially big farmers, could increase the productivity of major cereals, such as wheat and rice. Farmers in Punjab (who had good irrigation facilities) were extremely interested in the new seeds.

Increased Employment: The Green Revolution could provide a good deal of employment to landless agricultural laborers. The price of food grains declined. Therefore, persons belonging to the low-income group benefited from the Green Revolution.

The Green Revolution steered India out of its Food Crisis: It was in the Year 1968 that the term ‘Green Revolution’ was coined by Dr. William Gadd of the US Department of Agriculture. He appreciated India’s efforts in the field of wheat production in that year. This attracted the attention of World Monetary Institutions, such as World Bank that came forward to advance loans to India for raising agricultural productivity. It also gave a boost to economic policies designed to secure full employment.

Changed the Pattern of Industry: The production of tractors, harvesters, and seed-drill machines registered a significant improvement. There was also an installation of a large number of tubewells in the 1970s.

B. Short answer questions

9. Mention the main objectives of the First, the Second and the Third Five-Year Plans.

Answer: The main objectives of the First Five-Year Plan (1951-56) were to remove the imbalances created by the partition of the country. The Plan accorded the highest priority to agriculture, including irrigation and power projects.

The objective of the Second Five-Year Plan (1956-61) was to bring about speedy industrial development. The Second Five-Year Plan was prepared by a group of Indian and foreign economists, under the general guidance of P.C. Mahalanobis. It was hailed as the most radical plan. It had three distinct elements: rapid industrialisation, emphasis on basic and heavy industries, and a dominant role of the public sector.

The main objectives of the Third Five-Year Plan (1961-66) were: (i) Self-sufficiency in food grains; (ii) removal of unemployment; and (iii) expanding basic industries like steel, fuel, and power.

10. Discuss the role and functions of the National Development Council (NDC).

Answer: The role and functions of the National Development Council (NDC) were outlined as follows:

  • To lay down the Guidelines for the National Plan.
  • To consider the Plan Approach and the Plan Draft prepared by the Planning Commission and to finally approve them.
  • To mobilise resources of the nation in support of the “target” set for economic development.
  • To keep an eye on the implementation of the Plans and to evaluate from time to time the progress achieved during the Plan period.
  • To analyse the causes of failure in a particular area of activity and to suggest ways and means with a view to achieving the Plan targets.

11. What arguments were given by Gandhian scholars in favour of labour-intensive small industries?

Answer: The arguments given by Gandhian scholars in favour of labour-intensive small industries were:

  • Since India has enough manpower and very little capital resources, it required labour-intensive small schemes spread over the rural areas, rather than capital-intensive heavy industries.
  • According to them, planning enabled only the industrialists to prosper, whereas the rural poor continued to remain poor.
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13. Mention any two shortcomings (or negative consequences) of the Green Revolution in India.

Answer: The two shortcomings of the Green Revolution in India are:

Regional Inequalities: One harmful consequence of the Green Revolution was that it promoted regional inequalities. Its impact remained confined only to some States, especially Punjab, Haryana, and western Uttar Pradesh, where farmers were already much better off than in other regions.

Widened the Gulf between the Rich and the Poor: The Green Revolution widened the gulf between the two classes – the rich landlords and the poor peasantry. It was because of the simple reason that only big farmers could afford to buy improved seeds and improved agricultural implements, such as tractors and harvesters, etc.

C. Very short answer questions

14. Who is the Chairperson of the NITI Aayog?

Answer: The Chairperson of the NITI Aayog is the Prime Minister.

15. Whom does the main credit go for developing high-yielding variety seeds in India?

Answer: The main credit for developing high-yielding variety seeds in India goes to M.S. Swaminathan, S.P. Kohli, and G.S. Athwal of the Indian Agricultural Research Institute in Delhi.

D. Multiple Choice Questions: Tick (✓) the correct answer

16. Who among the following was not a Gandhian economist or a Gandhian scholar?

Answer: (b) Prof. Mahalanobis

17. NITI Aayog came into existence in the Year:

Answer: (c) 2015

18. The expanded form of NITI Aayog is:

Answer: (b) National Institution for Transforming India

19. Which among the following is not a function of the NITI Aayog?

Answer: (c) It deals with the needs of National Security

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