The document discusses the objectives of economic planning in India. It began in 1950 with the establishment of the Planning Commission and adoption of Five Year Plans to promote economic development. The key objectives were: 1. Economic growth through development in major sectors to increase GDP and per capita income. 2. Removing unemployment and underemployment by generating more employment opportunities through investment and income expansion. 3. Achieving self-reliance in the economy. 4. Reducing income inequalities and disparities between states and social groups. 5. Eliminating poverty and ensuring minimum needs through programs like Garibihatao. 6. Establishing a socialistic society with equal opportunities and just

1. ECONOMIC
PLANNING

2. IT REFERS TO THE CONSCIOUSLY
DIRECTED EFFORTS OF
ORGANISING AND USING
RESOURCES FOR PRODUCTIVE
PURPOSES BY A CENTRAL
AUTHORITY FOR ACHIEVING
CERTAIN PREDETERMINED AND
WELL DEFINED OBJECTIVES OR
GOALS WITHING A SPECIFIED
PERIOD OF TIME.

3. THE PRE-INDEPENDENCE
PERIOD IN INDIA WAS A
PERIOD OF ECONOMIC
STAGNATION.AT THE TIME OF
INDEPENDENCE, INDIA WAS AN
UNDEVELOPED COUNTRY
CHARACTERISED BY LOW PER
CAPITA INCOME, ABJECT
POVERTY AND VERY POOR

4. THEREFORE, THE
GOVERNMENT
UNDERTOOK THE
TASK OF PROMOTING
ECONOMIC
DEVELOPMENT
THROUGH ECONOMIC
PLANNING.

5. THE PLANNING
COMMISSION WAS SET
UP IN MARCH 1950 AND
HEREBY INDIA
ADOPTED FIVE YEAR
PLANS FOR THE
DEVELOPMENT OF

6. FIRST FIVE YEAR PLAN :
LAUNCHED ON 1ST APRIL
1951 FOR THE PERIOD
1951-1956.
CURRENTLY ELEVENTH
PLAN IS IN OPERATION
SINCE 1ST APRIL 2007-

7. LONG
TERM
OBJECTIVE
S OF THESE

8. ECONOMIC
GROWTH

9. oFIRST AND FOREMOST OBJECTIVE.
oECONOMIC GROWTH
TRADITIONALLY MEASURED AND
EXPRESSED IN TERMS OF
INCREASE IN THE LEVEL OF PER
CAPITA INCOME.
oAIM TO BRING ABOUT RAPID
ECONOMIC GROWTH THROUGH
DEVELOPMENT IN ALL THE MAJOR
SECTORS OF THE ECONOMY.

10. o “MAJOR THRUST”OF ECONOMIC
PLANNING IN INDIA IS ECONOMIC
GROWTH.
o HIGH PRIORITY TO GDP GROWTH SEEMS
TO BE JUSTIFIED KEEPING IN VIEW THE
LONG PERIOD OF STAGNATION DURING
19TH CENTURY AND EARLY 20TH
CENTURY.
o IT WAS EXPECTED THAT THE FRUITS
OF ECONOMIC GROWTH WOULD
BENEFIT DIFFERENT SECTIONS OF
THE PEOPLE AS THIS WAS TERMED
AS“TRICKLE DOWN THEORY”.

11. REMOVAL OF
UNEMPLOYMENT

12. o UNEMPLOYMENT AND
UNDEREMPLOYMENT ARE
IMPORTANT FACTORS
RESPONSIBLE FOR LOW LEVEL
OF INCOME AND POVERTY IN
THE COUNTRY.
o NO SERIOUS ATTEMPTS WERE
MADE TO WORK OUT A
STRATERGY FOR
EMPLOYMENT GENERATION.

13. o PLANNING COMMISSION BELIEVED
THAT INCREASE IN INVESTMENT
AND INCREASE IN NATIONAL
INCOME WOULD AUTOMATICALLY
GENERATE MORE EMPLOYMENT.
o EFFORTS HAVE BEEN MADE
TOWARDS CREATION OF MORE
EMPLOYMENT THROUGH
INCREASE IN INVESTMENT AND
INCOME EXPANSION OF SMALL
SCALE LABOUR INTENSIVE

14. SPECIFIC SCHEMES
UNDERTAKEN:
MGNREGA
Mahatma Gandhi National
Rural Employment
Guarantee Act.
JR
Y
Jawahar Razgar Yojana.
PMIUPEP Prime Ministers Integrated
Urban Poverty

15. SELF
RELIANCE

16. REDUCTION
OF INCOME
INEQUALITIES

17. o INDIAN ECONOMY IS
CHARACTERISED BY GLARING
INEQUALITES OF INCOME AND
WEALTH.
o PRESENT DEGREE OF
INEQUALITY OF INCOME –
UNDESIRABLE – NEEDS TO BE
REDUCED.o FRUITS OF GROWTH SHOULD
BE AVAILABLE TO DIFFERENT
SECTIONS OF THE SOCIETY.

18. o PROCESS OF REDUCING
INEQUALITIES IS TWO FOLD:
1.IT MUST RAISE INCOME AT LOW
LEVEL.
2.IT MUST REDUCE CONCENTRATION
OF WEALTH AT HIGHER LEVELS.
o INCOME EQUALITY ALSO DUE TO
DISPARITY IN THE LEVEL OF
ECONOMIC DEVELOPMENT
ATTAINED BY DIFFERENT STATE
AND REGIONS.

19. o RECOGNITION OF THE NEED FOR
GIVING SPECIAL ATTENTION TO
BACKWARD STATES AND HILLY
AREAS.
o NOT MUCH PRIORITY GIVEN TO
THIS OBJECTIVE – BELIEVING
ECONOMIC GROWTH WILL
AUTOMATICALLY REDUCE INCOME
INEQUALITY.o THERE HAS BEEN A SLOW
DECREASE IN INCOME
INEQUALITY DURING THE PERIOD
OF ECONOMIC PLANNING.

20. o ABOLITION OF ZAMINDARI
SYSTEM, IMPOSING CEILING ON
LAND HOLDINGS, DISTRIBUTING
SURPLUS LAND AMONG
LANDLESS.o INCOME INEQUALITY ARISING
OUT OF INDUSTRIALISATION AND
GROWTH WERE FAR MORE
COMPLEX.
REGIONAL INEQUALITY – LARGE
DISPARITY BETWEEN RURAL
AND URBAN INCOME.

21. ELIMINATION
OF POVERTY

22. o ONE OF THE
FUNDAMENTAL
OBJECTIVES.
o REMOVAL OF POVERTY TAKEN AS
SPECIFIC OBJECTIVE FROM FIFTH
PLAN (1974-1979)
o IT WAS BELIEVED THAT BENEFITS
OF DEVELOPMENT WOULD
AUTOMATICALLY REACH THE
POOR MASSES.

23. o THIS EXPECTATION WAS NOT
REALISED – INFACT INCREASE IN
NATIONAL INCOME WAS
ACCOMPANIED BY INCREASE IN
THE DEGREE OF POVERTY.
o IN THE FIFTH
PLAN, THERE
WAS A VISIBLE
SHIFT IN
PLANNING THE
ISSUE OF
GARIBI HATAO
MINIMUM NEEDS
PROGRAMME
GROWTH WITH JUSTICE.

24. ESTABLISHMENT
OF A
SOCIALISTIC
SOCIETY

25. THIS IMPLIES:
1. EQUAL OPPORTUNITES TO ALL IN
THE MATTER OF EDUCATION, PUBLIC
HEALTH, OCCUPATION, ECONOMIC
OPPORTUNITIES, ETC.
2. JUST AND EQUITABLE
DISTRIBUTION OF WEALTH AND
ABSENCE OF CONCENTRATION OF
ECONOMIC POWER.3. SOCIALISTIC SOCIETY
CHARACTERISED BY ABSENCE OF
EXPLOITATION OF MAN BY MAN.

26. MODERNISATION