Question

P.C. Mahalanobis focused on which aspect of the Indian economy during the framing of the Second Five Year Plan?

• A. The Agrarian Sector, including investment in dams and irrigation
• B. Democracy and Education
• C. Health Care
• D. Rapid Industrialisation and active role of the Public Sector

Hint:

The Mahalanobis model of economic planning emphasized the importance of heavy industry and capital goods to kickstart industrialization in a newly independent country. It is considered one of the most significant economic strategies in India's development.

Answer 1

The Correct Option is D

P.C. Mahalanobis was a key architect of India's Second Five Year Plan (1956-1961). The plan focused heavily on industrialization, particularly in the heavy industries sector, with the state playing a central role in economic development. Mahalanobis believed that for India to become self-sufficient, it needed to focus on capital goods industries and public sector enterprises.
Economic Philosophy: Mahalanobis’s strategy was to build a foundation for long-term economic growth by prioritizing industrial development, particularly in sectors like steel, machinery, and power. His model laid the groundwork for India’s eventual industrial development and self-reliance.