Q1. Rolling Plan can be best defined in context of India as
(a) Formulation of annual plans
(b) Perspective of Five-Year Plan with the provision of extending by one year at a time so that there would be a constant planning horizon of five years
(c) Aims and achievements reviewed every year in a Five-Year Plan
(d) Plan for full 5 years
(UPSC Prelims 1980)
Answer: (b) Perspective of Five-Year Plan with the provision of extending by one year at a time so that there would be a constant planning horizon of five years
Explanation: The Rolling Plan concept allowed for annual revisions within a five-year framework, ensuring flexibility and continuous planning based on performance and priorities.
Q2. Which of the following is incorrect?
(a) 1951-56 First Five-Year Plan
(b) 1956-61 Second Five-Year Plan
(c) 1961-66 Third Five-Year Plan
(d) 1966-71 Fourth Five-Year Plan
(UPSC Prelims 1981)
Answer: (d) 1966-71 Fourth Five-Year Plan
Explanation: The Fourth Five-Year Plan was actually implemented from 1969 to 1974, not 1966 to 1971. The period between 1966 and 1969 was covered by annual plans due to economic instability and drought conditions.
Q3. First Five-Year Plan laid stress on
(a) Agriculture
(b) Industry
(c) Power
(d) Uplifting of poor people
(UPSC Prelims 1982)
Answer: (a)
Explanation: India’s First Five-Year Plan (1951–56) focused primarily on agriculture, aiming to achieve food security, improve irrigation, and boost rural development. This was essential for a newly independent nation with a predominantly agrarian economy.
Q4. Some of the measures of the Fifth Five-Year Plan were :
I. Removal of poverty
II. Economic self-sufficiency
III. Heavy industrialisation
IV. Conservation of foreign exchange
Of these the strategic objectives of the Plan in priority order were
(a) I, II, III, IV
(b) II, I, III, IV
(c) I, II, IV, III
(d) II, I, IV, III
Answer: (c) I, II, IV, III
Explanation: The Fifth Five-Year Plan emphasized poverty alleviation and economic self-reliance. The priority order reflects the focus on removal of poverty, followed by self-sufficiency, foreign exchange conservation, and finally industrialisation as a long-term goal.
Q5. Which of the following pairs is incorrect ?
Five Year Plan — Laid main emphasis on
(a) I — Agriculture and Rural development
(b) II — Expansion of basic and heavy industries
(c) III — Self-sufficiency in food and expansion of basic industries like steel
(d) — Political growth of the country
(UPSC Prelims 1984)
Answer: (d) — Political growth of the country
Explanation: None of the Five-Year Plans focused on political growth as a primary objective. They emphasized economic development, such as agriculture, industry, and infrastructure. Hence, option (d) is incorrect.
Q6. In the Sixth Five-Year Plan, indicates allocations were made in descending order for the following sectors
- Irrigation and flood control
- Agriculture and allied programmes
- Village and small industries
- Power
(a) 4, 2, 1, 3
(b) 3, 4, 1, 3
(c) 2, 4, 1, 3
(d) 1, 3, 4, 2
(UPSC Prelims 1984)
Answer: (a) 4, 2, 1, 3
Explanation: In the Sixth Five-Year Plan (1980–85), priority was given to power generation, followed by agriculture, irrigation, and village industries. This allocation aimed to boost productivity and rural development.
Q7. The novelty in the Sixth Plan was
(a) Area planning
(b) Sectoral planning
(c) Rural development
(d) New expansion programme
(UPSC Prelims 1984)
Answer: (b) Sectoral planning
Explanation: The Sixth Five-Year Plan introduced sectoral planning, focusing on specific economic sectors like energy, agriculture, and industry. This approach aimed to optimize resource allocation and improve coordination across departments.
Q8. Assertion (A): Though three decades have passed since Independence, still many people are living below poverty line in India.
Reason (R): Five-Year Plans have failed to achieve the targeted growth rate.
(a) A and R both are incorrect
(b) A is correct but R is incorrect
(c) A and R are correct and R is the correct explanation of A
(d) A and R are correct but R is not the correct explanation of A
(UPSC Prelims 1984)
Answer: (c) A and R are correct and R is the correct explanation of A
Explanation: Many people remained below the poverty line due to shortfalls in economic growth, especially in employment generation and rural development. The Five-Year Plans often missed targets, limiting their impact on poverty alleviation, making the reason valid.
Q9. Which of the following Five-Year Plans was terminated one year before its completion ?
(a) Second
(b) Third
(c) Fourth
(d) Fifth
(UPSC Prelims 1985)
Answer: (d) Fifth
Explanation: The Fifth Five-Year Plan (1974–1979) was terminated prematurely in 1978 by the Janata government, which introduced a Rolling Plan instead. This marked a shift in India’s planning strategy during that period.
Q10. The main function of the National Development Council is
(a) To promote national integration
(b) To develop villages
(c) To review the working of the National Plan from time to time
(d) None of the above
(UPSC Prelims 1986)
Answer: (c) To review the working of the National Plan from time to time
Explanation: The National Development Council (NDC) was established to ensure coordinated planning between the Centre and States. Its primary role is to review and assess the progress of the National Plans, making it a key body in India’s planning process.
Q11. Largest allocation in the Seventh Five-Year Plan has been given to
(a) Agriculture
(b) Transport
(c) Education
(d) Energy
(UPSC Prelims 1987)
Answer: (a) Agriculture
Explanation: The Seventh Five-Year Plan (1985–1990) emphasized agricultural development to ensure food security and rural employment. It received the largest allocation, reflecting the plan’s focus on inclusive growth and poverty alleviation.
Q12. Which of the following is true ?
(a) Physical planning is more important than financial planning
(b) Financial planning is more important than physical planning
(c) Physical planning and financial planning are equally important
(d) Physical planning and financial planning are complementary
(UPSC Prelims 1987)
Answer: (d) Physical planning and financial planning are complementary
Explanation: Physical planning (infrastructure, resources) and financial planning (budgeting, allocation) must work together to ensure effective implementation of development projects. They are interdependent and mutually reinforcing.
Q13. The long-term fiscal policy formulated in the context of Seventh Five-Year Plan lays emphasis on
(a) Tackling the problems of deep-seated poverty and unemployment
(b) Reforming taxing system
(c) Capital formation by increasing money income and reducing real consumption
(d) Making taxes easily comprehensible to the tax payers
(UPSC Prelims 1987)
Answer: (a) Tackling the problems of deep-seated poverty and unemployment
Explanation: The Seventh Five-Year Plan (1985–1990) focused on reducing poverty and unemployment through fiscal reforms and targeted investments. The long-term fiscal policy aimed to mobilize resources and channel them into productive sectors, addressing structural economic issues.
Q14. In the Sixth Five-Year Plan, priority was given to
(a) Strengthen the infrastructure for agriculture and industry both
(b) Removal of poverty and attainment of economic self reliance
(c) Socialist pattern of society
(d) Petroleum production
(UPSC Prelims 1987)
Answer: (b) Removal of poverty and attainment of economic self reliance
Explanation: The Sixth Plan (1980–1985) emphasized poverty alleviation and self-reliance, focusing on employment generation, agricultural productivity, and basic needs. It marked a shift from growth-centric to people-centric planning.
Q15. Assertion (A): Five-Year Plans form the basis of Indian economic planning.
Reason (R): India follows Soviet pattern of planning.
(a) Both A and R are correct and R is the correct explanation of A
(b) Both A and R are correct but R is not the correct explanation of A
(c) A is correct but R is incorrect
(d) A is incorrect but R is correct
(UPSC Prelims 1987)
Answer: (a) Both A and R are correct and R is the correct explanation of A
Explanation: India adopted the Five-Year Plan model inspired by the Soviet Union’s centralized planning system. Thus, both the assertion and reason are correct, and the reason explains the assertion accurately.