Q.Briefly review the achievements and failures of eleven five year plans.

Over eleven Five Year Plans India raised national and per capita income, built an industrial and infrastructure base, became self-sufficient in foodgrains and expanded education, health and science. Yet poverty, unemployment, inequality, inflation, regional imbalance and inefficient public enterprises persisted, so the plans succeeded partly but did not fully transform living standards.

After independence India adopted economic planning to accelerate growth and reduce poverty. From the First Plan (1951-56) to the Eleventh Plan (2007-12), the economy was guided by successive Five Year Plans. The AP Intermediate 2nd-year Economics course (aligned with the NCERT/CBSE commerce curriculum) expects a balanced review of their record.

Achievements of the Five Year Plans:

1. Rise in national and per capita income. National income and, more slowly, per capita income rose over the plan period, lifting overall output.

2. Growth of industry. A broad industrial base was created, including heavy and capital-goods industries, reducing dependence on imports.

3. Development of infrastructure. Large investments were made in power, irrigation, transport, communication and banking.

4. Self-sufficiency in foodgrains. The Green Revolution helped India move from food shortages to self-sufficiency in foodgrains.

5. Expansion of education, health and science. Schools, colleges, hospitals and research and technical institutions expanded greatly.

6. Growth of savings and investment. The rates of domestic savings and capital formation improved substantially.

7. Institutional development. Public-sector undertakings, financial institutions and a planning framework were established.

Failures of the Five Year Plans:

1. Persistence of poverty. A large section of the population remained below the poverty line despite many anti-poverty programmes.

2. Unemployment. The plans could not generate enough jobs to absorb the growing labour force.

3. Inequality. Income and wealth inequalities, both between persons and between regions, continued or widened.

4. Inflation. Prices rose continuously, hurting the poor and fixed-income groups.

5. Regional imbalance. Some states and regions remained backward while others developed faster.

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