π Chapter 02 Β· Previous Year Questions
Economic Planning β Previous Year Questions
10 actual questions from UPSC, APPSC, and TGPSC previous year papers on Economic Planning in India.
π‘ Tip: Previous year questions reveal the exact pattern. Study these carefully β similar questions repeat across years.
π 10 Previous Year Questions
With reference to NITI Aayog, consider the following statements:
1. It is a constitutional body.
2. The Prime Minister is its Chairperson.
3. It allocates funds to states like the Planning Commission did.
Which of the statements given above is/are correct?
1. It is a constitutional body.
2. The Prime Minister is its Chairperson.
3. It allocates funds to states like the Planning Commission did.
Which of the statements given above is/are correct?
A) 1 and 2 only
B) 2 only
C) 1 and 3 only
D) 1, 2 and 3
β
Answer: B) 2 onlyStatement 1 is incorrect β NITI Aayog is NOT a constitutional body; it was created by a Cabinet Resolution. Statement 2 is correct β PM is the Chairperson. Statement 3 is incorrect β NITI Aayog does NOT allocate funds to states; that is done by the Finance Ministry and Finance Commission.
The Second Five Year Plan of India was based on which model?
A) Harrod-Domar model
B) Nehru-Mahalanobis model
C) Solow growth model
D) Lewis model
β
Answer: B) Nehru-Mahalanobis modelThe Second Five Year Plan (1956-61) was based on the Nehru-Mahalanobis model, developed by P.C. Mahalanobis. It emphasised heavy industries and capital goods production. The First Plan used the Harrod-Domar model focusing on agriculture.
The Planning Commission of India was replaced by NITI Aayog on:
A) August 15, 2014
B) October 2, 2014
C) January 1, 2015
D) March 15, 2015
β
Answer: C) January 1, 2015PM Modi announced the dissolution of the Planning Commission on August 15, 2014 (Independence Day speech). NITI Aayog was formally established on January 1, 2015, replacing the Planning Commission.
Which Five Year Plan was terminated before its completion by the Janata Party government?
A) Third Five Year Plan
B) Fourth Five Year Plan
C) Fifth Five Year Plan
D) Sixth Five Year Plan
β
Answer: C) Fifth Five Year PlanThe Fifth Five Year Plan (1974-79) was terminated one year early by the Janata Party government in 1978. The Janata Party replaced it with Rolling Plans (Annual Plans). The Congress government later launched the Sixth Five Year Plan (1980-85).
The Finance Commission of India is a:
A) Statutory body created by Parliament
B) Constitutional body established under Article 280
C) Extra-constitutional body created by Cabinet Resolution
D) Advisory body under the Ministry of Finance
β
Answer: B) Constitutional body established under Article 280The Finance Commission is a constitutional body established under Article 280. It is set up every 5 years by the President. It recommends the distribution of tax revenues between the Centre and States, and grants-in-aid to states.
The First Five Year Plan of India focused primarily on:
A) Agriculture and rehabilitation of refugees
B) Heavy industries
C) Poverty alleviation
D) Human development
β
Answer: A) Agriculture and rehabilitation of refugeesThe First Five Year Plan (1951-56) focused on agriculture and rehabilitation of refugees from Pakistan. It was based on the Harrod-Domar model. The plan exceeded its growth target β achieving 3.6% growth against a target of 2.1%.
The Governing Council of NITI Aayog includes:
A) Only Cabinet Ministers
B) Only Chief Ministers of states
C) Chief Ministers of all states and Lt. Governors of Union Territories
D) Members of Parliament
β
Answer: C)The Governing Council of NITI Aayog includes Chief Ministers of all states and Lt. Governors of Union Territories. This is a key difference from the Planning Commission β it ensures all states have a voice in national policy making, reflecting cooperative federalism.
Which of the following statements about the Planning Commission is correct?
A) It was established by the Constitution of India
B) It was established by an Act of Parliament
C) It was established by a Cabinet Resolution
D) It was established by the President of India
β
Answer: C) It was established by a Cabinet ResolutionThe Planning Commission was established by a Cabinet Resolution on March 15, 1950. It was NOT a constitutional body (not mentioned in the Constitution) and NOT created by Parliament. This is why it could be dissolved by a simple Cabinet decision in 2015.
The Atal Innovation Mission (AIM) is an initiative of:
A) Ministry of Science and Technology
B) NITI Aayog
C) Department for Promotion of Industry and Internal Trade (DPIIT)
D) Ministry of Education
β
Answer: B) NITI AayogThe Atal Innovation Mission (AIM) is a flagship initiative of NITI Aayog to promote innovation and entrepreneurship across India. It includes Atal Tinkering Labs (ATLs) in schools, Atal Incubation Centres (AICs), and Atal New India Challenges.
Which Five Year Plan is known as the most successful Five Year Plan in terms of achieving growth targets?
A) First Five Year Plan
B) Fourth Five Year Plan
C) Seventh Five Year Plan
D) Tenth Five Year Plan
β
Answer: C) Seventh Five Year PlanThe Seventh Five Year Plan (1985-90) is considered the most successful Five Year Plan. It achieved the highest growth rate till that time. It focused on food, work, and productivity. PM Rajiv Gandhi’s technology push and economic liberalisation contributed to its success.