CH-2 Planning Commision

Question 1

What is economic planning

Answer 1

It refers to a system wherein the govt of a country decides targets and sets polices to achieve those targets.

Question 2

What is directive and comprehensive planning

Answer 2

Directive planning is when the govt of a country introduces the plans just to direct the market and not participate itself, it is used in capitalist economies
Comprehensive planning is when the govt herself takes part in plans for the motive of growth of the country, it is used in mixed and socialist economy .

Question 3

What are the three types of economies

Answer 3

Capitalist - all producers are private
Socialist - all producers are public
Mixed - both

Question 4

Objectives of long period goals

Answer 4

Full employment, GDP growth, modernization, equity, self sufficiency

Question 5

When were the following plans implemented

1) first plan
2) twelfth plan

Answer 5

1) 1951

2) 2012

Question 6

what are the achievements of planning

Answer 6

GDP growth
Employment 
Infrastructure 
National income
Industrialization

Question 7

What are the failures of planning

Answer 7

Poverty
Inflation
Skewed distribution of income