Long Answer Questions · Q9
Q.Explain the objectives of economic planning in India.
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✓ Free question
Indian economic planning has pursued five broad and recurring objectives across its plan history:
- Growth — raising the rate of growth of national income and per-capita income, pursued mainly through higher rates of saving and investment and by raising the productivity of both agriculture and industry, since a growing economy is what makes every other objective achievable.
- Self-Reliance (Atmanirbharta) — reducing dependence on other countries, particularly for foodgrains, capital goods, and foreign aid, pursued through domestic agricultural build-up (culminating in the Green Revolution) and a domestic heavy-industry base.
- Modernisation — adopting new technology and diversifying the production structure, in both agriculture and industry, so that growth is achieved with up-to-date rather than outdated methods.
- Equity / Social Justice — reducing inequalities of income and wealth and the incidence of poverty, most visibly foregrounded in the Fifth Plan's Garibi Hatao thrust of the mid-1970s, since growth alone does not guarantee its benefits reach the poorest sections.
- Employment Generation — creating enough productive jobs for India's fast-growing labour force, pursued through both direct employment schemes and an emphasis on labour-intensive sectors.
No single Five-Year Plan gave all five objectives equal weight — the First Plan (1951–56) prioritised agriculture and irrigation, the Second Plan (1956–61) shifted sharply toward growth through heavy industry and self-reliance, and later plans progressively gave more explicit weight to equity and employment.
✓Final answer
Indian planning's five objectives are growth, self-reliance, modernisation, equity/social justice, and employment generation — pursued together, but with shifting emphasis from one Five-Year Plan to another.
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