Comparative Development Experiences of India & Its Neighbors

Question 1

Why do countries join international organizations?

Answer 1

1. To strengthen their own economies
2. To know about the economic opportunities and practices of other countries
3. To understand the development path of neighbouring countries

Question 2

Any 4 examples of economic groupings

Answer 2

SAARC, European Union, ASEAN, G-8, G-20, BRICS

Question 3

Countries in BRICS

Answer 3

Brazil, Russia, India, China, and South Africa

Question 4

Principal features of the strategies adopted by India and Pakistan

Answer 4

(i) It was a mixed-economy model of growth
(ii) The strategy of growth underlined the significance of both private and public sectors.
(iii) Public sector was assigned the key role of ‘kick-starting’ the process of growth.
(iv) Private sector was assigned the secondary role of pushing the process of growth.
(v) Public expenditure on social development was raised.

Question 5

Why do countries need to keep track of neighbouring countries?

Answer 5

Studying the comparative development of neighbouring economies helps:

1. Understand our strengths and weaknesses in relation to our neighbours
2. For developing countries, understand how others have dealt with the competition of the developed nations
3. They share a similar environment, culture and have some common economic activities

Question 6

Describe the political setup of India, Pakistan and China.

Answer 6

India: Largest democracy in the world, secular and deeply liberal constitution

Pakistan: Militaristic power structure

China: Command economy that has only recently started moving towards a democratic system and more liberal economic restructuring.

Question 7

Similarities in the development path of India, China and Pakistan

Answer 7

1. Same time: All three countries began their development path at the same time. While India and Pakistan became independent nations in 1947, the People’s Republic of China was established in 1949.
2. Planning System: While India announced its first Five Year Plan for 1951–56, Pakistan announced its first five-year plan, now called the Medium Term Development Plan, in 1956 and China announced its First Five Year Plan in 1953.

Right now, Pakistan is on its 12th and China is on its 14th 5Y plan.

3. Economic Reforms: Economic reforms took place in all the three countries. Reforms started in India in 1991, in China in 1978 and in Pakistan in 1988.
4. Similar outcomes: Till the 1980s, all the three countries had similar growth rates and per capita incomes. However since then, Indian and Pakistan have made slow and irregular progress in comparison with China which has made miraculous progress.

Question 8

Write a note on China’s historical background. (2M)

Answer 8

1. China has one of the world’s oldest continuing civilizations dating back 6000 years.
2. The People’s Republic of China was established in 1949.

Question 9

China’s geographical structure. (2M - 4 points)

Answer 9

1. Situated in eastern Asia
2. It is the third-largest country by land area
3. It is the most populated country in the world
4. Its relief features limit cultivation.

Question 10

China’s economy (2M)

Answer 10

1. China has the world’s largest economy
2. After the establishment of the People’s Republic of China under one-party rule, all the critical sectors of the economy, enterprises and land were brought under government control.

Question 11

GLF (5M)

Answer 11

1. The Great Leap Forward Campaign was initiated in 1958 by Mao.
2. The main aim was to industrialize the economy to enable China to compete with the western developed world.
3. Under this program, people were encouraged to set up industries in their backyards.
4. In rural areas, communes were started and people collectively cultivated lands.
5. In 1958 (Y1), there were 26,000 communes covering almost all the farm population.
6. GLF campaign met with many problems - about 30-55 million deaths by starvation, execution, torture, forced labour, suicide out of depression, etc. Moreover, when Russia had conflicts with China, it withdrew its professionals who had earlier been sent to China to help in the industrialisation process.

Question 12

The Great Proletariat Cultural Revolution

Answer 12

1. Introduced in 1965

2. Students and professionals were sent to work and learn from the countryside.

Question 13

Reforms in China

Answer 13

Reforms were introduced in 1978 in phases

1. Initial Phase: Reforms were initiated in the agriculture, foreign trade and investment sectors. (To advance agriculture and bring in money)
2. In agriculture, commune lands were divided into small plots which were allocated to individual households (only for use, not ownership). They could keep all the income generated from the land after paying the taxes.
3. Reforms to the industrial sector: Private sector firms, and township and village enterprises were allowed to produce goods. State-owned enterprises (SOEs) were in healthy competition with other types of enterprises.
4. Dual pricing: Fixing the prices in 2 ways. Prices of inputs and outputs of farmers and industrial units were fixed. For other transactions, the inputs and outputs could be traded at market price.
5. Special economic zone: In order to attract foreign investors, special economic zones were set up.