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Planning and NITI Aayog PYQs – Economics, SSC & Railway

220 Planning and NITI Aayog (Economics) questions asked in recent SSC and Railway exams, newest first, with exam, date & shift, answers and solutions – page 2 of 3.

📚 220 questionsSSC 155 · Railway 65
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SSC CPO Paper-1 2025 – 12 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q101. Which of the following Five-Year Plans marked a strategic transition in India's economic policy, shifting the primary focus from agriculture to the development of heavy industries and industrialization?

  1. (a) First Five-Year Plan
  2. (b) Second Five-Year Plan
  3. (c) Fourth Five-Year Plan
  4. (d) Fifth Five-Year Plan
Answer & solution

Answer: (b) Second Five-Year Plan

Correct Answer: Second Five-Year Plan (Option 2)
The Second Five-Year Plan (1956–1961), based on the Mahalanobis Model, marked India's strategic shift from agriculture to heavy industry and rapid industrialization. It prioritized the development of basic and capital goods industries (iron and steel, heavy engineering, capital equipment). The Bhilai, Durgapur, and Rourkela steel plants were established during this plan.
The First Five-Year Plan (1951–56) focused primarily on agriculture, land reforms, and rehabilitation of refugees from partition.
The Fourth and Fifth Plans also had industrial components but were not the primary turning point toward heavy industrialization.
SSC CPO Paper-1 2025 – 12 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q102. Which of the following Five-Year Plans in India was notably criticized for its substantial dependence on foreign loans to finance the import of machinery and capital goods?

  1. (a) Second Five-Year Plan
  2. (b) Fourth Five-Year Plan
  3. (c) Sixth Five-Year Plan
  4. (d) Eighth Five-Year Plan
Answer & solution

Answer: (a) Second Five-Year Plan

Correct Answer: Second Five-Year Plan (Option 1)
The Second Five-Year Plan (1956–1961) was strongly criticized for its heavy dependence on foreign loans and aid to finance the massive import of machinery and capital goods required for building the heavy industries it envisioned. India's foreign exchange reserves were severely depleted during this period, and the plan had to be scaled down. The reliance on Soviet and Western aid during this plan became a notable criticism.
While other plans also had foreign borrowings, the Second Plan's excessive foreign dependence relative to its ambitious industrialization targets made it particularly notable in this regard.
SSC CPO Paper-1 2025 – 12 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q103. During India's Third Five-Year Plan, which of the following significant events posed major challenges to industrial and trade development?

  1. (a) Global economic recession, severely impacting Indian exports
  2. (b) Major wars and droughts leading to resource constraints
  3. (c) Initiation of economic liberalization policies, attracting foreign investment
  4. (d) Implementation of the Green Revolution has shifted in focus towards agriculture
Answer & solution

Answer: (b) Major wars and droughts leading to resource constraints

Correct: Major wars and droughts leading to resource constraints.
India's Third Five-Year Plan (1961–66) was severely disrupted by the Indo-China War (1962), the Indo-Pakistan War (1965), and back-to-back droughts (1965–66). These crises drained resources and led to the plan being called a failure. Economic liberalization came in 1991; the Green Revolution was a later development; no major global recession hit India's exports in that specific period.
SSC CPO Paper-1 2025 – 11 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q104. The 7th Five-Year Plan is credited with laying the foundation for which of the following major economic reform eras in India?

  1. (a) Nationalization of banks
  2. (b) Green revolution
  3. (c) Economic liberalization and modernization in the 1990s
  4. (d) National Rural Employment Guarantee Act
Answer & solution

Answer: (c) Economic liberalization and modernization in the 1990s

Correct Answer: Economic liberalization and modernization in the 1990s (Option 3)
The 7th Five-Year Plan (1985–1990), under Prime Minister Rajiv Gandhi, emphasized economic modernization, technology adoption, and reducing government control over industry. It introduced several market-oriented reforms that laid the groundwork for the major economic liberalization of 1991 (New Economic Policy under P.V. Narasimha Rao and Manmohan Singh).
Nationalization of banks happened in 1969 (under Indira Gandhi), during the 4th Plan period.
The Green Revolution primarily took place during the 3rd and 4th Five-Year Plans (1960s–70s).
The National Rural Employment Guarantee Act (MNREGA) was enacted in 2005, during the 10th Plan.
SSC CPO Paper-1 2025 – 10 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q105. Which year marked the beginning of India's First Five-Year Plan?

  1. (a) 1949
  2. (b) 1950
  3. (c) 1951
  4. (d) 1952
Answer & solution

Answer: (c) 1951

Correct Answer: 1951
India's First Five-Year Plan was launched in 1951 (April 1, 1951) and ran until 1956. It was formulated by the Planning Commission under Prime Minister Jawaharlal Nehru, with primary focus on agricultural development and rehabilitating refugees post-Partition.
Option 1 (1949): Incorrect.
Option 2 (1950): Incorrect. The Planning Commission was established on March 15, 1950, but the Plan started in 1951.
Option 4 (1952): Incorrect.
SSC CPO Paper-1 2025 – 10 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q106. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A): The Minimum Needs Programme (MNP) was introduced in the Fifth Plan.
Reason (R): It targeted improvement in quality of life through education, health, and drinking water.

  1. (a) Both A and R are true and R is the correct explanation of A.
  2. (b) Both A and R are true but R is not the correct explanation of A.
  3. (c) A is true but R is false.
  4. (d) A is false but R is true.
Answer & solution

Answer: (a) Both A and R are true and R is the correct explanation of A.

Correct Answer: Both A and R are true and R is the correct explanation of A.
The Minimum Needs Programme (MNP) was indeed introduced in India's Fifth Five-Year Plan (1974–79). Its primary objective was to improve the quality of life of the poor by ensuring minimum standards in elementary education, rural health, rural water supply, rural roads, rural electrification, environmental improvement of urban slums, and nutrition. R correctly and directly explains the purpose and thus the rationale for A.
SSC CPO Paper-1 2025 – 10 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q107. Which of the following industrial sectors were prioritized during the Second Five-Year Plan?

  1. (a) Textile industry and advertising industry
  2. (b) Iron and steel industry, fertilizer industry, heavy engineering, and lignite projects
  3. (c) Cottage industry and consumer goods industry
  4. (d) Handicrafts and Information technology
Answer & solution

Answer: (b) Iron and steel industry, fertilizer industry, heavy engineering, and lignite projects

Correct Answer: Iron and steel industry, fertilizer industry, heavy engineering, and lignite projects
India's Second Five-Year Plan (1956–61), based on the Nehru- Mahalanobis model, prioritised heavy industries and public sector investment. Key sectors included iron and steel ( Bhilai , Durgapur, Rourkela plants), heavy engineering, fertilizers, and lignite/coal projects.
Option 1: Incorrect. Textiles were a priority in earlier years, not the core of the Second Plan.
Option 3: Incorrect. Cottage industries were prioritised in the First Plan.
Option 4: Incorrect. IT industry didn't exist as a concept in 1956.
SSC CPO Paper-1 2025 – 10 December 2025 Shift 2 · Planning Commission and NDC

Q108. What was the primary objective of the "Gadgil Formula"?

  1. (a) To determine the allocation of central assistance for state plans in India
  2. (b) To focus on industrial growth in economically weaker states
  3. (c) To provide equal financial support to all regions, regardless of their specific needs
  4. (d) To distribute resources according to the state's economic outputs
Answer & solution

Answer: (a) To determine the allocation of central assistance for state plans in India

Correct Answer: To determine the allocation of central assistance for state plans in India
The Gadgil Formula (1969), formulated by D.R. Gadgil, was designed to determine how central plan assistance (grants and loans) should be distributed among states. It gave weightage to population (60%), per capita income of less-developed states (10%), ongoing irrigation and power projects (10%), achievements in land reform (10%), and performance in family planning (10%).
Option 2: Incorrect. Industrial growth was not the primary focus of this formula.
Option 3: Incorrect. The formula was need-based, not equal distribution.
Option 4: Incorrect. Economic output was not the basis of allocation.
SSC CPO Paper-1 2025 – 10 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q109. What role did Small-Scale Industries (SSIs) play in the 6th Five-Year Plan's trade strategy?

  1. (a) They were discouraged in favor of large-scale units
  2. (b) They were expected to focus only on local markets
  3. (c) They were promoted as key exporters and employment generators
  4. (d) They were merged with public sector units
Answer & solution

Answer: (c) They were promoted as key exporters and employment generators

Correct Answer: They were promoted as key exporters and employment generators
The Sixth Five-Year Plan (1980–85) explicitly promoted Small-Scale Industries (SSIs) as key contributors to export earnings and employment generation. SSIs were seen as labour-intensive units that could generate employment and contribute to foreign exchange through exports of handicrafts, garments, leather goods, etc.
Option 1: Incorrect. SSIs were promoted, not discouraged.
Option 2: Incorrect. Export promotion was a key goal.
Option 4: Incorrect. SSIs remained independent of the public sector.
SSC CPO Paper-1 2025 – 9 December 2025 Shift 1 · Five-Year Plans - objectives and models

Q110. The Second Five Year Plan (1956–1961) of India was primarily based on which economic model?

  1. (a) Harrod-Domar Model
  2. (b) Feldman Model
  3. (c) Keynesian Model
  4. (d) Mahalanobis Model
Answer & solution

Answer: (d) Mahalanobis Model

The Second Five Year Plan was primarily based on the Mahalanobis Model, developed by Prasanta Chandra Mahalanobis (statistician, founder of ISI).
The model emphasized rapid industrialization, particularly in heavy capital goods industries (steel, mining, machinery).
It prioritized investment in the capital goods sector to build a self-sustaining industrial base for future growth.
Harrod-Domar Model: Used in the First Five Year Plan; focuses on the relationship between savings, investment, and growth.
Feldman Model: A Soviet model of industrialization; Mahalanobis drew inspiration from this in designing the Second Plan.
Keynesian Model: Focuses on aggregate demand management; not the basis of India's Five Year Plans.
SSC CPO Paper-1 2025 – 9 December 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q111. How would one characterize the trajectory of India's industrial sector during the Five Year Plans up to 1990?

  1. (a) Consistently surpassing projected growth rates across all sectors
  2. (b) Attaining swift technological progress and global competitiveness
  3. (c) Showing significant growth in fundamental and heavy industries, but often falling short of targets and facing inefficiencis .
  4. (d) Being predominantly propelled by private sector innovation and capital infusion, with minimal governmental intervention
Answer & solution

Answer: (c) Showing significant growth in fundamental and heavy industries, but often falling short of targets and facing inefficiencis .

India's industrial sector under the Five Year Plans (1951–1990) showed mixed results.
There was significant expansion in heavy industries (steel, coal, power, railways) — mostly in the public sector.
However, many plans fell short of targets due to the License Raj, capital shortages, bureaucratic delays, and low productivity.
Option A is incorrect: Growth was inconsistent; several plans fell short of their targets.
Option B is incorrect: Technological progress was limited, and global competitiveness was very low.
Option D is incorrect: The private sector was heavily regulated; the government led most capital-intensive investment.
The correct characterization acknowledges both the achievements (infrastructure growth) and the serious inefficiencies of the planned industrial model.
SSC CPO Paper-1 2025 – 9 December 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q112. Which of the following was a defining feature of India's mixed economy model during the Five Year Plan period (1951–1991)?

  1. (a) No role for private enterprises
  2. (b) Only cooperative farming allowed
  3. (c) Coexistence of public sector with regulated private sector
  4. (d) Free market-driven liberal economy
Answer & solution

Answer: (c) Coexistence of public sector with regulated private sector

India adopted a mixed economy model during the Five Year Plan era (1951–1991).
The defining feature was the coexistence of a dominant public sector (controlling strategic/heavy industries like steel, railways, energy) alongside a regulated private sector.
The private sector operated under the License Raj — a system of government-issued licences and controls.
Both sectors functioned concurrently, with the state directing overall development through central planning.
Option A: Incorrect — India had a large public sector, not a purely private-controlled economy.
Option B: Incorrect — cooperatives existed but the private sector also operated.
Option D: Incorrect — India was far from a free market; the License Raj involved heavy state regulation.
SSC CPO Paper-1 2025 – 9 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q113. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A): The Third Five Year Plan failed to meet its targets.
Reason (R): The failure was mainly due to external shocks like war and drought.

  1. (a) Both A and R are true and R is the correct explanation of A
  2. (b) Both A and R are true but R is not the correct explanation of A
  3. (c) A is true but R is false
  4. (d) A is false but R is true
Answer & solution

Answer: (a) Both A and R are true and R is the correct explanation of A

Correct Answer: Both A and R are true and R is the correct explanation of A
India's Third Five Year Plan (1961–66) failed significantly to meet its targets. The reasons were the Sino-Indian War of 1962 and the Indo-Pakistani War of 1965, followed by severe drought in 1965–66. These external shocks diverted resources to defence and disrupted agricultural production. R correctly explains the failure of the Third Plan (A).
This led to three 'Plan Holidays' (Annual Plans) from 1966–69 before the Fourth Five Year Plan began.
SSC CPO Paper-1 2025 – 9 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q114. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A): The Fourth Five Year Plan aimed at growth with stability and self-reliance.
Reason (R): It was launched after the shocks of war and droughts during the previous plan period.

  1. (a) Both A and R are true and R is the correct explanation of A
  2. (b) Both A and R are true but R is not the correct explanation of A
  3. (c) A is true but R is false
  4. (d) A is false but R is true
Answer & solution

Answer: (a) Both A and R are true and R is the correct explanation of A

Correct Answer: Both A and R are true and R is the correct explanation of A
The Fourth Five Year Plan (1969–74) had twin objectives of 'growth with stability' and 'progressive achievement of self-reliance'. This was directly in response to the instability caused by the wars of 1962 and 1965 and the severe droughts of 1965–66 that severely impacted the Third Plan. The Fourth Plan was formulated to restore stability and reduce dependence on foreign aid. R correctly explains A.
SSC Stenographer 2025 – 8 December 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q115. The regulatory framework adopted by India between 1947 and 1990, often referred to as the "License Raj," aimed to direct economic activity. While it had certain intended benefits, what was a significant unintended negative consequence often associated with this system?

  1. (a) The fostering of a highly competitive market environment with numerous players in each industry.
  2. (b) A rapid increase in the quality and global competitiveness of Indian-made goods due to stringent quality control measures.
  3. (c) The creation of barriers to entry for new businesses potentially stifling innovation and leading to rent-seeking behavior.
  4. (d) A significant reduction in corruption and bureaucratic delays in obtaining necessary approvals for economic activities.
Answer & solution

Answer: (c) The creation of barriers to entry for new businesses potentially stifling innovation and leading to rent-seeking behavior.

The correct answer is The creation of barriers to entry for new businesses potentially stifling innovation and leading to rent-seeking behavior . The License Raj , which lasted from India’s independence until the 1991 economic reforms, required businesses to obtain multiple licenses and clearances to operate. While it was designed to regulate resources and ensure balanced growth, it led to excessive bureaucratic red tape, corruption, and favoritism . This environment discouraged new entrepreneurs, restricted competition, and often stifled innovation. Many firms survived not due to efficiency, but due to political connections and rent-seeking practices.
SSC Stenographer 2025 – 8 December 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q116. Which of the following was a major criticism of the industrial policy followed in India during 1950–1990?

  1. (a) Neglect of the public sector.
  2. (b) Too much emphasis on exports.
  3. (c) Creation of a protected market leading to inefficiency and lack of innovation.
  4. (d) Excessive competition among domestic industries.
Answer & solution

Answer: (c) Creation of a protected market leading to inefficiency and lack of innovation.

The correct answer is Creation of a protected market leading to inefficiency and lack of innovation . Between 1950 and 1990 , India followed a policy of import substitution and protectionism . The government imposed high tariffs, import restrictions, and licensing requirements (known as the License Raj ) to protect domestic industries. While this approach helped build a basic industrial base, it also created a monopolistic environment , reduced efficiency, and discouraged innovation. Since industries were shielded from foreign competition, they lacked incentive to improve quality or productivity, leading to stagnation. This criticism ultimately paved the way for the 1991 economic liberalisation reforms.
SSC Stenographer 2025 – 7 December 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q117. What was the primary impact of the 'License Raj' system on industrial growth in India before 1991?

  1. (a) It created entry barriers, hindered expansion, and fostered inefficiency.
  2. (b) It ensured balanced regional development and prevented monopolies.
  3. (c) It led to efficient resource allocation and increased competition.
  4. (d) It promoted rapid industrial diversification and innovation.
Answer & solution

Answer: (a) It created entry barriers, hindered expansion, and fostered inefficiency.

The correct answer is It created entry barriers, hindered expansion, and fostered inefficiency . The License Raj system (1947–1991) was a strict regulatory framework in India where industries needed government licenses for setting up and expanding businesses. This led to bureaucratic red tape, corruption, limited competition, and inefficiency , which slowed down India’s industrial growth before the 1991 economic reforms.
SSC Stenographer 2025 – 7 December 2025 Shift 1 · NITI Aayog

Q118. The Aspirational Districts Programme (ADP) focuses on:

  1. (a) Providing subsidies to small-scale industries
  2. (b) Enhancing development in underdeveloped districts
  3. (c) Developing industrial clusters in backward regions
  4. (d) Improving governance in urban areas
Answer & solution

Answer: (b) Enhancing development in underdeveloped districts

The Aspirational Districts Programme (ADP) was launched by the Government of India in 2018 with the aim of transforming the most underdeveloped and backward districts of the country. The programme focuses on rapid improvement in key sectors such as health and nutrition, education, agriculture and water resources, financial inclusion, skill development, and basic infrastructure. The idea is to uplift districts that lag behind in socio-economic indicators and bring them at par with the rest of the country. It uses real-time monitoring and a ranking-based approach to ensure competition and cooperation among districts. Hence, the correct answer is Option 2.
SSC Stenographer 2025 – 7 December 2025 Shift 2 · Five-Year Plans - objectives and models

Q119. Consider the following statements:
Statement I: The objective of "Growth with Social Justice & Equality" was introduced in the 10th Five-Year Plan.
Statement II: The first Five-Year Plan was based on the "Harrod-Domar model".
Which of the above statements is/are correct?

  1. (a) Statement I is correct, Statement II is incorrect
  2. (b) Both statements I and II are correct
  3. (c) Both statements I and II are incorrect
  4. (d) Statement I is incorrect, Statement II is correct
Answer & solution

Answer: (d) Statement I is incorrect, Statement II is correct

The correct answer is option 4. Statement I is incorrect because the concept of "Growth with Social Justice and Equality" was not introduced in the 10th Five-Year Plan, but rather emphasised in later stages, particularly in the 11th Plan (2007–2012), which focused on “Inclusive Growth.” The 10th Plan (2002–2007) had the objective of achieving 8% GDP growth along with reducing poverty and regional imbalances, but it did not formally introduce this phrase. Statement II is correct because the First Five-Year Plan (1951–1956) was indeed based on the Harrod-Domar growth model , which emphasises investment and savings as determinants of economic growth. This model suited India’s post-independence conditions, where the focus was on agricultural development, community projects, and basic industries.
SSC Stenographer 2025 – 6 December 2025 Shift 1 · NITI Aayog

Q120. Who was appointed as the CEO (Chief Executive Officer) of NITI Aayog in February 2023?

  1. (a) Dr. Vivek Joshi
  2. (b) Dr. Sukhbir Singh Sandhu
  3. (c) BVR Subrahmanyam
  4. (d) Amitabh Kant
Answer & solution

Answer: (c) BVR Subrahmanyam

The correct answer is B.V.R. Subrahmanyam . In February 2023, he was appointed as the CEO of NITI Aayog , succeeding Parameswaran Iyer , who was earlier serving in this role and later moved to the World Bank. Subrahmanyam is a retired IAS officer of the 1987 batch from the Chhattisgarh cadre . He has earlier served as the Chief Secretary of Jammu & Kashmir and has held senior positions in the Prime Minister’s Office. His appointment brought administrative experience and governance expertise to NITI Aayog, which is India’s premier policy think tank aimed at fostering cooperative federalism and promoting sustainable development.
SSC Stenographer 2025 – 6 December 2025 Shift 2 · NITI Aayog

Q121. The Aspirational Districts Programme (ADP) focuses on:

  1. (a) Developing industrial clusters in backward regions
  2. (b) Enhancing development in underdeveloped districts
  3. (c) Providing subsidies to small-scale industries
  4. (d) Improving governance in urban areas
Answer & solution

Answer: (b) Enhancing development in underdeveloped districts

The correct answer is Enhancing development in underdeveloped districts . The Aspirational Districts Programme (ADP) was launched by the Government of India in January 2018 , under the guidance of NITI Aayog . It aims to quickly and effectively transform 112 identified underdeveloped districts across India by focusing on key areas such as health and nutrition, education, agriculture and water resources, financial inclusion, skill development, and basic infrastructure. The programme uses a data-driven ranking system (Delta Ranking) to monitor progress and promote competition among districts. By encouraging convergence of central and state schemes, collaboration among stakeholders, and competition among districts, ADP seeks to uplift some of the most backward regions of India, ensuring inclusive growth and reducing regional disparities.
SSC Stenographer 2025 – 6 December 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q122. The regulatory framework adopted by India between 1947 and 1990, often referred to as the "License Raj," aimed to direct economic activity.
While it had certain intended benefits, what was a significant unintended negative consequence often associated with this system?

  1. (a) A rapid increase in the quality and global competitiveness of Indian-made goods due to stringent quality control measures.
  2. (b) The creation of barriers to entry for new businesses potentially stifling innovation and leading to inefficiencies.
  3. (c) A significant reduction in corruption and bureaucratic delays in obtaining necessary approvals for economic activities.
  4. (d) The fostering of a highly competitive market environment with numerous players in each industry.
Answer & solution

Answer: (b) The creation of barriers to entry for new businesses potentially stifling innovation and leading to inefficiencies.

The "License Raj" required businesses to obtain multiple government permits and clearances to start and operate. While it was meant to regulate growth and ensure balanced development, it led to barriers for new entrants . This stifled competition, discouraged innovation, and created inefficiencies in industries. Instead of promoting competitiveness, it often resulted in monopolies and corruption, limiting India’s industrial potential until liberalisation in 1991.
SSC CHSL Tier-1 2025 – 30 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q123. Which of the following five year plan of India started in 1969?

  1. (a) First
  2. (b) Second
  3. (c) Fourth
  4. (d) Sixth
Answer & solution

Answer: (c) Fourth

Correct Answer: Option 3 – Fourth
The Fourth Five Year Plan of India started in 1969 and ran until 1974. It was formulated under PM Indira Gandhi with the slogan 'Growth with Stability and Progressive Achievement of Self-Reliance'. The plan faced challenges due to the 1971 Indo-Pak War and the 1973 oil crisis.
Why other options are wrong:
Option 1 (First): The First Five Year Plan ran from 1951 to 1956.
Option 2 (Second): The Second Five Year Plan ran from 1956 to 1961.
Option 4 (Sixth): The Sixth Five Year Plan ran from 1980 to 1985.
SSC CHSL Tier-1 2025 – 30 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q124. Which of the following was the key issue during launch of eighth five year plan of India?
I. Worsening balance of payment position.
II. Rising debt burden.

  1. (a) Only I
  2. (b) Only II
  3. (c) Both I and II
  4. (d) Neither I nor II
Answer & solution

Answer: (c) Both I and II

Correct Answer: Option 3 – Both I and II
The Eighth Five Year Plan (1992–1997) was launched in the aftermath of the 1991 economic crisis. Both issues were critical at its launch:
I. Worsening balance of payments position: India had a severe BoP crisis in 1991 with near-zero forex reserves.
II. Rising debt burden: India had accumulated massive external debt that it was struggling to repay.
These twin crises led to the historic liberalisation , privatisation , and globalisation (LPG) reforms.
Why other options are wrong:
Option 1 (Only I): Both issues were present; rising debt was equally critical.
Option 2 (Only II): Both issues were present; BoP crisis was also a major concern.
Option 4 (Neither I nor II): Incorrect; both were key issues at the time of the Eighth Plan's launch.
SSC CHSL Tier-1 2025 – 30 November 2025 Shift 2 · Five-Year Plans - objectives and models

Q125. In India, the second five year plan ended in which year?

  1. (a) 1950
  2. (b) 1955
  3. (c) 1961
  4. (d) 1972
Answer & solution

Answer: (c) 1961

Correct Answer: Option 3 – 1961
The Second Five Year Plan of India ran from 1956 to 1961. It was based on the Mahalanobis model and focused on rapid industrialisation , especially heavy industries. It ended in 1961 when the Third Five Year Plan began.
Why other options are wrong:
Option 1 (1950): 1950 was before any Five Year Plan; plans started in 1951.
Option 2 (1955): 1955 was the end of the First Five Year Plan (1951–56), not the Second.
Option 4 (1972): 1972 is associated with the end of the Fourth Five Year Plan (1969–74).
SSC CHSL Tier-1 2025 – 30 November 2025 Shift 3 · Five-Year Plans - objectives and models

Q126. On whose ideas was the second five year plan based?

  1. (a) Chaudhari Charan Singh
  2. (b) Sardar Vallabh Bhai Patel
  3. (c) K Kamraj
  4. (d) Prasanta Chandra Mahalanobis
Answer & solution

Answer: (d) Prasanta Chandra Mahalanobis

Correct Answer: Option 4 – Prasanta Chandra Mahalanobis
The Second Five Year Plan (1956–1961) was based on the Mahalanobis Model, developed by Prof. Prasanta Chandra Mahalanobis, the founder of the Indian Statistical Institute. The model emphasised rapid industrialisation through heavy and capital goods industries, with the goal of establishing a self-sufficient industrial base for India.
Why other options are wrong:
Option 1 (Chaudhari Charan Singh): He was an agricultural economist and PM; not the architect of the Second Plan.
Option 2 (Sardar Patel): He was the Deputy PM and Home Minister; he passed away in 1950 before the Second Plan.
Option 3 (K Kamraj): He was a Congress leader from Tamil Nadu; not associated with Five Year Plan formulation.
SSC CHSL Tier-1 2025 – 29 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q127. What was the reason for the disruption in Third five year Plan?
I. Indo-Pakistan Conflict.
II. Two successive years of drought.

  1. (a) Only I
  2. (b) Only II
  3. (c) Both I and II
  4. (d) Neither I nor II
Answer & solution

Answer: (c) Both I and II

The Third Five Year Plan (1961-1966) was disrupted by both the Indo-Pakistan War (1965) and two successive years of drought.
Both factors I (conflict) and II (drought) contributed to its failure, making the Third Plan the first to miss its targets significantly. Hence, Both I and II is correct.
SSC CHSL Tier-1 2025 – 29 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q128. What was the growth target for twelfth five year plan in India?

  1. (a) 2%
  2. (b) 5%
  3. (c) 8%
  4. (d) 13%
Answer & solution

Answer: (c) 8%

The Twelfth Five Year Plan (2012-2017) had a growth target of 8% per annum, focusing on faster, more inclusive, and sustainable growth.
2%, 5%, and 13% are incorrect. Hence, 8% is correct.
SSC CHSL Tier-1 2025 – 29 November 2025 Shift 3 · Planning Commission and NDC

Q129. Who was the Chairperson of the Planning Commission when it was formed?

  1. (a) Jawaharlal Nehru
  2. (b) Morarji Desai
  3. (c) Sardar Vallabh Bhai Patel
  4. (d) K Kamraj
Answer & solution

Answer: (a) Jawaharlal Nehru

Correct Answer: Option 1 – Jawaharlal Nehru
The Planning Commission of India was established on 15 March 1950 by a Cabinet Resolution. Prime Minister Jawaharlal Nehru was its first Chairperson (as the Prime Minister is the ex-officio Chairperson of the Planning Commission). He guided India's early Five-Year Plans to promote economic development.
Why other options are wrong:
Option 2 (Morarji Desai): Morarji Desai served as Finance Minister and later as PM; he was not the first Chairperson.
Option 3 (Sardar Patel): Sardar Vallabh Bhai Patel was the Deputy PM and Home Minister; he did not chair the Planning Commission.
Option 4 (K Kamraj): K Kamraj was a Congress leader from Tamil Nadu; he had no role as Planning Commission Chairperson.
SSC CHSL Tier-1 2025 – 29 November 2025 Shift 3 · Five-Year Plans - objectives and models

Q130. Which of the following five year plan of India commenced at a time when the global economy was going through a second financial crisis?

  1. (a) First
  2. (b) Third
  3. (c) Fourth
  4. (d) Twelfth
Answer & solution

Answer: (d) Twelfth

Correct Answer: Option 4 – Twelfth
The Twelfth Five Year Plan (2012–2017) commenced at a time when the global economy was experiencing the second major financial crisis — the European Sovereign Debt Crisis (2010–2012) and its global repercussions. The plan aimed at 'Faster, Sustainable and More Inclusive Growth' with a target growth rate of 8%.
Why other options are wrong:
Option 1 (First): The First Five Year Plan (1951–56) was during post-World War II recovery, not a global financial crisis.
Option 2 (Third): The Third Plan (1961–66) faced challenges from wars (1962, 1965), not global financial crises.
Option 3 (Fourth): The Fourth Plan (1969–74) faced oil price shocks, not a global financial crisis per se.
SSC CHSL Tier-1 2025 – 28 November 2025 Shift 3 · Five-Year Plans - objectives and models

Q131. The planning in the real sense began with _____ five year plan in India.

  1. (a) second
  2. (b) fifth
  3. (c) eighth
  4. (d) tenth
Answer & solution

Answer: (a) second

Planning in the real sense in India began with the Second Five Year Plan (1956-61), also known as the Nehru- Mahalanobis Plan. It focused on rapid industrialisation , especially in heavy industries and the public sector. The First Five Year Plan (1951-56) was largely a continuation of the colonial-era development plans.
The Fifth, Eighth, and Tenth Five Year Plans came much later and had different objectives.
SSC CHSL Tier-1 2025 – 28 November 2025 Shift 1 · Plan holidays and rolling plan

Q132. In India, which two years were known as annual plans before eighth five year plan was launched?

  1. (a) 1969-1970, 1970-1971
  2. (b) 1974-1975, 1975-1976
  3. (c) 1985-1986, 1986-1987
  4. (d) 1990-1991, 1991-1992
Answer & solution

Answer: (d) 1990-1991, 1991-1992

The years 1990-1991 and 1991-1992 were designated as Annual Plans in India before the Eighth Five Year Plan (1992-1997) was launched. These two annual plans came about due to political instability, the fall of V.P. Singh's and Chandra Shekhar's governments, and the economic crisis of 1991.
The first Annual Plans were 1966-67, 1967-68, 1968-69 (after the Third Plan); the other options are incorrect. Hence, 1990-1991, 1991-1992 is correct.
SSC CHSL Tier-1 2025 – 27 November 2025 Shift 2 · Five-Year Plans - objectives and models

Q133. The ninth five year plan of India was launched in _____.

  1. (a) 1985
  2. (b) 1992
  3. (c) 1997
  4. (d) 2003
Answer & solution

Answer: (c) 1997

The Ninth Five Year Plan of India was launched in 1997 and ran until 2002. Its main theme was "Growth with Social Justice and Equity."
The Eighth Plan ran from 1992 to 1997.
The Tenth Plan ran from 2002 to 2007.
1985 and 2003 are not start years of the Ninth Plan.
SSC CHSL Tier-1 2025 – 27 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q134. Who was Prime Minister of India during Eighth five year plan?

  1. (a) Morarji Desai
  2. (b) Indira Gandhi
  3. (c) Chaudhary Charan Singh
  4. (d) P.V. Narsimha Rao
Answer & solution

Answer: (d) P.V. Narsimha Rao

The Eighth Five Year Plan (1992–1997) was implemented during the tenure of P.V. Narsimha Rao as Prime Minister (1991–1996). This plan coincided with India's landmark economic liberalisation reforms of 1991. After Rao, H.D. Deve Gowda continued for the remaining period.
Morarji Desai was PM from 1977–79; Indira Gandhi was PM during 1966–77 and 1980–84; Chaudhary Charan Singh was PM for a brief period in 1979–80. Hence, P.V. Narsimha Rao is correct.
SSC CHSL Tier-1 2025 – 24 November 2025 Shift 2 · Planning Commission and NDC

Q135. Who among the following was the chairman of the planning commission under fourth five year plan?

  1. (a) Indira Gandhi
  2. (b) Pitambar Pant
  3. (c) Gulzarilal Nanda
  4. (d) Morarji Desai
Answer & solution

Answer: (a) Indira Gandhi

Correct Answer: Indira Gandhi (Option 1)
The Fourth Five Year Plan (1969-1974) was implemented under the chairmanship of Prime Minister Indira Gandhi, who was also the ex-officio Chairperson of the Planning Commission. The plan had the famous slogan 'Garibi Hatao' (Remove Poverty) and focused on growth with stability and progressive achievement of self-reliance.
Why others are wrong:
Option 2 - Pitambar Pant: He was an economist and member of the Planning Commission but not its chairman.
Option 3 - Gulzarilal Nanda: He served as the Deputy Chairman of the Planning Commission earlier but not during the Fourth Plan period.
Option 4 - Morarji Desai: He was not the chairman of the Planning Commission during the Fourth Five Year Plan.
SSC CHSL Tier-1 2025 – 22 November 2025 Shift 2 · Five-Year Plans - objectives and models

Q136. Who was architect of Indian Planning?

  1. (a) Prasanta Chandra Mahalanobis
  2. (b) Sardar Vallabh Bhai Patel
  3. (c) Manmohan Singh
  4. (d) Jay Prakash Narayan
Answer & solution

Answer: (a) Prasanta Chandra Mahalanobis

Prasanta Chandra Mahalanobis (P.C. Mahalanobis) is known as the architect of Indian Planning. He designed India's Second Five Year Plan (1956-61), which focused on heavy industries and is called the 'Mahalanobis Model'. He was also the founder of the Indian Statistical Institute (ISI).
Sardar Patel: Iron Man of India; Manmohan Singh: economist and PM; Jay Prakash Narayan: freedom fighter.
SSC CHSL Tier-1 2025 – 21 November 2025 Shift 3 · Five-Year Plans - objectives and models

Q137. The Hill Area Development Programme was initiated during the _____ th five-year plan.

  1. (a) 1. 10th
  2. (b) 2. 8th
  3. (c) 3. 5th
  4. (d) 4. 7th
Answer & solution

Answer: (c) 3. 5th

The Hill Area Development Programme was initiated during the 5th Five Year Plan (1974–1979) to address the special developmental needs of hilly and backward areas. This programme focused on integrated development of hill areas covering economic, social, and infrastructure needs. Options 1 (10th plan), 2 (8th plan), and 4 (7th plan) are incorrect.
SSC CHSL Tier-1 2025 – 20 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q138. Which of the following was NOT the goal of five year plans in India?

  1. (a) Growth
  2. (b) Dependency on foreign aid
  3. (c) Modernisation
  4. (d) Equity
Answer & solution

Answer: (b) Dependency on foreign aid

The main goals of India's Five Year Plans were: Growth (increasing national income), Modernisation (adopting new technology), Self-reliance (reducing dependency on foreign aid), and Equity (reducing inequality). 'Dependency on foreign aid' was NOT a goal — in fact, achieving self-reliance by reducing foreign aid dependency was the actual goal. Why other options are wrong: Option 1 - Growth: This WAS a core goal of the five year plans — to increase GDP and per capita income. Option 3 - Modernisation: This WAS a goal — to adopt modern technology in agriculture, industry, etc. Option 4 - Equity: This WAS a goal — to reduce income inequality and ensure benefits reach all sections of society.
SSC CHSL Tier-1 2025 – 20 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q139. Which of the following five year plan in India was thorough failure in reaching targets due to unforeseen events like Chinese aggression (1962)?

  1. (a) First
  2. (b) Second
  3. (c) Third
  4. (d) Fifth
Answer & solution

Answer: (c) Third

The Third Five Year Plan (1961-1966) was a complete failure. It was severely disrupted by unforeseen events: the Sino-Indian War (1962), the Indo-Pakistan War (1965), severe droughts, and food shortages. The plan could not achieve its targets and the government had to implement Three Annual Plans (1966-69) (also called 'Plan Holiday') instead of the Fourth Five Year Plan. Why other options are wrong: Option 1 - First Plan (1951-56): Considered largely successful in achieving its targets. Option 2 - Second Plan (1956-61): Though ambitious, it was not derailed by Chinese aggression (which occurred in 1962). Option 4 - Fifth Plan (1974-79): Was terminated early by the Janata government in 1978, but the reason was political, not Chinese aggression.
SSC CHSL Tier-1 2025 – 14 November 2025 Shift 1 · Five-Year Plans - objectives and models

Q140. Which of the following Five Year Plans in India tried to build the basis for a socialist pattern of society?

  1. (a) First
  2. (b) Second
  3. (c) Tenth
  4. (d) Eleventh
Answer & solution

Answer: (b) Second

The correct answer is theSecond Five Year Plan.
Key Details
Focus:The Second Five Year Plan (1956–1961), often called theMahalanobis Plan, placed primary emphasis on the rapid industrialization of the country.
Socialist Goal:It formally adopted thesocialist pattern of societyas the nation's objective, focusing on the expansion of the public sector and heavy industry to reduce economic inequality and promote self-reliance.
SSC CHSL Tier-1 2025 – 14 November 2025 Shift 2 · Planning Commission and NDC

Q141. Who among the following was the chairman of Planning Commission under the tenth five year plan?

  1. (a) Atal Bihari Vajpayee
  2. (b) I. K. Gujral
  3. (c) H. D. Deve Gowda
  4. (d) P. V. Narasimha Rao
Answer & solution

Answer: (a) Atal Bihari Vajpayee

The Tenth Five Year Plan covered the period 2002-2007. During this period, Atal Bihari Vajpayee (2002-2004) and then Manmohan Singh (2004-2007) were Prime Ministers. The Prime Minister of India serves as the ex-officio Chairman of the Planning Commission. Atal Bihari Vajpayee was PM at the start of the Tenth Plan. Why others are wrong: - I. K. Gujral: Was PM in 1997-98, during the Ninth Plan period. - H. D. Deve Gowda: Was PM in 1996-97, also during the Ninth Plan period. - P. V. Narasimha Rao: Was PM from 1991-1996, during the Eighth Plan period.
SSC CHSL Tier-1 2025 – 12 November 2025 Shift 2 · Planning Commission and NDC

Q142. Who among the following was the Deputy Chairman of Planning Commission under the Tenth Five Year Plan?

  1. (a) Shankarrao Chavan
  2. (b) K.C. Pant
  3. (c) Yaswant Sinha
  4. (d) P. Shiv Shankar
Answer & solution

Answer: (b) K.C. Pant

K.C. Pant served as the Deputy Chairman of the Planning Commission during the initial years of the Tenth Five Year Plan (2002–2007) under the Vajpayee government. He served in this role from 2001–2004. Shankarrao Chavan, Yaswant Sinha, and P. Shiv Shankar held other important positions but were not Deputy Chairman of the Planning Commission during the Tenth Plan period.
SSC CHSL Tier-1 2025 – 12 November 2025 Shift 2 · Planning Commission and NDC

Q143. Who among the following was the deputy chairman of Planning Commission under the tenth five year plan?

  1. (a) Shankarrao Chavan
  2. (b) K.C. Pant
  3. (c) Yaswant Sinha
  4. (d) P. Shiv Shankar
Answer & solution

Answer: (b) K.C. Pant

Correct Answer: K.C. Pant
K.C. Pant (Krishnachandra Pant) served as the Deputy Chairman of the Planning Commission during the Tenth Five Year Plan (2002?2007), under the NDA government led by Prime Minister Atal Bihari Vajpayee.
Why other options are wrong:
- Shankarrao Chavan: Was a senior Congress leader and served as Finance Minister; not deputy chairman of Planning Commission at this time.
- Yaswant Sinha: Served as Finance Minister under NDA; not the deputy chairman of Planning Commission.
- P. Shiv Shankar: Was a Congress politician and former minister; not linked to the 10th Plan Planning Commission leadership.
SSC CHSL Tier-1 2025 – 12 November 2025 Shift 3 · Planning Commission and NDC

Q144. What was the primary function of Planning Commission of India?

  1. (a) To control the inflation.
  2. (b) To boost the foreign trade.
  3. (c) To formulate and implement five year plans.
  4. (d) To monitor the currency exchange system in India.
Answer & solution

Answer: (c) To formulate and implement five year plans.

Correct Answer: To formulate and implement five year plans.
The Planning Commission of India, established in 1950, had the primary function of formulating and implementing Five Year Plans for balanced economic development of the country. It assessed resources, set development priorities, and allocated funds. It was dissolved in 2014 and replaced by NITI Aayog in 2015.
Why other options are wrong:
- To control inflation: This is the function of the Reserve Bank of India (RBI) through monetary policy.
- To boost foreign trade: This is the function of the Ministry of Commerce and DGFT.
- To monitor currency exchange: This is the function of the RBI.
SSC CGL Tier-1 2025 – 14 October 2025 Shift 2 · Plan holidays and rolling plan

Q145. Which plan period is known as the 'Plan Holiday'?

  1. (a) 1961–66
  2. (b) 1966–69
  3. (c) 1969–74
  4. (d) 1974–79
Answer & solution

Answer: (b) 1966–69

1966–69 is known as the 'Plan Holiday' in India.
Due to wars (1962 with China, 1965 with Pakistan), drought, and economic crisis, the 4th Five-Year Plan was postponed. Three Annual Plans were implemented instead.
Answer: Option 2 (1966–69)
SSC CGL Tier-1 2025 – 14 October 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q146. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A): The Industrial Licensing Policy promoted innovation in small-scale industries.
Reason (R): It provided entry barriers for new firms and created rent-seeking behaviour.

  1. (a) Both A and R are true and R is the correct explanation of A.
  2. (b) Both A and R are true but R is not the correct explanation of A.
  3. (c) A is true but R is false.
  4. (d) A is false but R is true.
Answer & solution

Answer: (d) A is false but R is true.

Assertion A is FALSE: Industrial Licensing Policy actually stifled innovation and competition in small-scale industries by creating monopolies and inefficiencies.
Reason R is TRUE: The licensing system created entry barriers and encouraged rent-seeking behaviour (getting licenses through connections rather than merit).
So A is false but R is true.
Answer: Option 4 (A is false but R is true)
SSC CGL Tier-1 2025 – 24 September 2025 Shift 1 · Planning Commission and NDC

Q147. The Planning Commission was established in which year?

  1. (a) 1947
  2. (b) 1949
  3. (c) 1950
  4. (d) 1952
Answer & solution

Answer: (c) 1950

The Planning Commission of India was established by a Cabinet resolution on 15 March 1950 to formulate Five-Year Plans for economic and social development.
It was later replaced by the NITI Aayog on 1 January 2015.
SSC CGL Tier-1 2025 – 24 September 2025 Shift 2 · Five-Year Plans - objectives and models

Q148. Which Five Year Plan laid the foundation of India's socialist pattern of society?

  1. (a) First Plan
  2. (b) Second Plan
  3. (c) Third Plan
  4. (d) Fourth Plan
Answer & solution

Answer: (b) Second Plan

The Second Five-Year Plan (1956–61), based on the Mahalanobis model, focused on heavy industries and adopted the "socialist pattern of society" as a national objective (Avadi Resolution, 1955).
SSC CGL Tier-1 2025 – 24 September 2025 Shift 3 · Five-Year Plans - objectives and models

Q149. What was the main focus of the First Five-Year Plan?

  1. (a) Heavy industries
  2. (b) Agriculture
  3. (c) Urbanization
  4. (d) Information Technology
Answer & solution

Answer: (b) Agriculture

India's First Five-Year Plan (1951–56) was based on the Harrod-Domar model and focused mainly on agriculture, irrigation and power.
Heavy industries became the focus of the Second Plan (Mahalanobis model).
SSC CGL Tier-1 2025 – 23 September 2025 Shift 2 · NITI Aayog

Q150. Who joined as the CEO of NITI Aayog in February 2023?

  1. (a) Parameswaran Iyer
  2. (b) V.K. Paul
  3. (c) B.V.R. Subrahmanyam
  4. (d) Amitabh Kant
Answer & solution

Answer: (c) B.V.R. Subrahmanyam

B.V.R. Subrahmanyam, a 1987-batch IAS officer, joined as the CEO of NITI Aayog in February 2023, succeeding Parameswaran Iyer.
SSC CGL Tier-1 2025 – 23 September 2025 Shift 3 · Plan holidays and rolling plan

Q151. The rolling plan concept was introduced during which Prime Minister's tenure?

  1. (a) Jawaharlal Nehru
  2. (b) Indira Gandhi
  3. (c) Morarji Desai
  4. (d) Rajiv Gandhi
Answer & solution

Answer: (c) Morarji Desai

The Rolling Plan concept was introduced in India in 1978 during the tenure of Prime MinisterMorarji Desai(Janata Government), replacing the Fifth Plan.
The idea was originally proposed by economist Gunnar Myrdal.
SSC CGL Tier-1 2025 – 22 September 2025 Shift 3 · Planning Commission and NDC

Q152. How does Indian planning demonstrate responsiveness to feedback?

  1. (a) By finalizing plans before public opinion is known
  2. (b) By discarding public suggestions entirely
  3. (c) By modifying drafts based on criticism and recommendations
  4. (d) By consulting only foreign agencies for planning
Answer & solution

Answer: (c) By modifying drafts based on criticism and recommendations

Indian Five-Year Plans were prepared in draft form and circulated for public, expert and political feedback.
The drafts were then modified based on criticism and recommendations before final adoption — showing planning's responsiveness to feedback.
SSC CGL Tier-1 2025 – 22 September 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q153. How did licensing policy under the planning era affect the emergence of large industrial conglomerates?

  1. (a) It increased FDI inflow
  2. (b) It prevented market dominance
  3. (c) It allowed firms to block competitors by hoarding licenses
  4. (d) It enhanced rural employment
Answer & solution

Answer: (c) It allowed firms to block competitors by hoarding licenses

Under the 'License Raj', big established firms could obtain and hoard industrial licenses.
This blocked new competitors and helped large conglomerates dominate.
So it did not prevent market dominance; it encouraged it through license hoarding.
SSC CGL Tier-1 2025 – 21 September 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q154. Why did the Indian government resort to licensing even for expanding existing private sector industries under IPR 1956?

  1. (a) (a) To promote export competition
  2. (b) (b) To keep production under government control
  3. (c) (c) To prevent technological innovation
  4. (d) (d) To encourage luxury production
Answer & solution

Answer: (b) (b) To keep production under government control

Industrial Policy Resolution (IPR) 1956 emphasised the dominant role of the public sector.
Licensing was used for private sector industries (including expansions) to keep production under government control.
This was aligned with the socialist pattern of society.
SSC CGL Tier-1 2025 – 20 September 2025 Shift 3 · Plan holidays and rolling plan

Q155. In the context of Five Year Plans, what does the term 'plan holiday' refer to?

  1. (a) Emergency loan disbursements
  2. (b) Suspension of annual budgets
  3. (c) Discontinuity in five-year planning
  4. (d) Switch from socialism to capitalism
Answer & solution

Answer: (c) Discontinuity in five-year planning

After the Third Five-Year Plan (1961–66), due to the Indo-Pak war, droughts and devaluation of the rupee, India did not start the Fourth Plan immediately.
Instead, three Annual Plans (1966–69) were implemented — this gap is called the 'Plan Holiday', i.e., discontinuity in five-year planning.
Hence, Option 3 is correct.
SSC CGL Tier-1 2025 – 19 September 2025 Shift 3 · Five-Year Plans - objectives and models

Q156. Which plan introduced the Minimum Needs Programme?

  1. (a) Third
  2. (b) Fourth
  3. (c) Fifth
  4. (d) Sixth
Answer & solution

Answer: (c) Fifth

The Fifth Five-Year Plan (1974–79) introduced the Minimum Needs Programme (MNP) aimed at providing certain basic minimum needs to the people.
Hence the answer is the Fifth Plan.
SSC CGL Tier-1 2025 – 17 September 2025 Shift 1 · Five-Year Plans - objectives and models

Q157. . Which Five-Year Plan focused on heavy industries?

  1. (a) First
  2. (b) Second
  3. (c) Third
  4. (d) Fourth
Answer & solution

Answer: (b) Second

The Second Five-Year Plan (1956-61) was based on the Mahalanobis model and focused on rapid industrialisation, especially heavy industries.
The First Plan focused on agriculture and irrigation; the Third on self-reliance; the Fourth on growth with stability.
Hence the Second Five-Year Plan is the correct answer.
SSC CGL Tier-1 2025 – 17 September 2025 Shift 2 · Five-Year Plans - objectives and models

Q158. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A):Self-reliance was a major objective of India's early planning era.
Reason (R):India sought to reduce dependence on foreign aid and imports post-independence.

  1. (a) Both A and R are true and R is the correct explanation of A.
  2. (b) Both A and R are true but R is not the correct explanation of A.
  3. (c) A is true but R is false.
  4. (d) A is false but R is true.
Answer & solution

Answer: (a) Both A and R are true and R is the correct explanation of A.

A is true — self-reliance was a stated objective in early Indian Five-Year Plans.
R is true — India aimed to reduce dependence on foreign aid and imports after independence.
Reducing dependence directly motivated the self-reliance objective, so R correctly explains A.
SSC CGL Tier-1 2025 – 17 September 2025 Shift 3 · Five-Year Plans - objectives and models

Q159. The Mahalanobis Model was used in which plan?

  1. (a) First
  2. (b) Second
  3. (c) Fourth
  4. (d) Fifth
Answer & solution

Answer: (b) Second

The Mahalanobis Model, developed by P.C. Mahalanobis, formed the basis of the Second Five-Year Plan (1956-61).
It emphasised rapid industrialisation through heavy industries.
Hence the answer is the Second Five-Year Plan.
SSC CGL Tier-1 2025 – 15 September 2025 Shift 1 · Five-Year Plans - objectives and models

Q160. Read the following Assertion (A) and Reason (R) carefully and choose the correct option.
Assertion (A): The Mahalanobis strategy prioritized heavy industries and capital goods.
Reason (R): It was believed that investing in such industries would create long-term capacity for growth.

  1. (a) Both A and R are true and R is the correct explanation of A.
  2. (b) Both A and R are true but R is not the correct explanation of A.
  3. (c) A is true but R is false.
  4. (d) A is false but R is true.
Answer & solution

Answer: (a) Both A and R are true and R is the correct explanation of A.

Assertion is true – P. C. Mahalanobis ’ Second Five-Year-Plan model gave priority to heavy and capital-goods industries.
Reason is true – investment in these sectors was expected to create long-term productive capacity and self-sustained growth.
Reason explains the assertion correctly.
RRB NTPC UG CBT-1 2024-25 – 9 September 2025 Shift 1 · Planning Commission and NDC

Q161. The Planning Commission was the apex body responsible for formulating Five-Year Plans. In which year was the Planning Commission of India established?

  1. (a) 1951
  2. (b) 1948
  3. (c) 1950
  4. (d) 1952
Answer & solution

Answer: (c) 1950

RRB NTPC UG CBT-1 2024-25 – 4 September 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q162. In 1947, the Indian economy was marked by deep poverty. Which sector dominated the Indian economy at the time of independence?

  1. (a) Manufacturing sector
  2. (b) Services sector
  3. (c) Agricultural sector
  4. (d) Industrial sector
Answer & solution

Answer: (c) Agricultural sector

RRB NTPC UG CBT-1 2024-25 – 4 September 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q163. Which sector was the largest contributor to India's GDP between 1947 and 1991?

  1. (a) Financial sector
  2. (b) Agriculture sector
  3. (c) Service sector
  4. (d) Industrial sector
Answer & solution

Answer: (b) Agriculture sector

RRB NTPC UG CBT-1 2024-25 – 4 September 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q164. At the time of independence, India's economy was predominantly:

  1. (a) service-based
  2. (b) trade-based
  3. (c) agricultural
  4. (d) industrial
Answer & solution

Answer: (c) agricultural

RRB NTPC UG CBT-1 2024-25 – 4 September 2025 Shift 3 · Five-Year Plans - objectives and models

Q165. What was the main focus of India’s Second Five Year Plan with respect to the economy?

  1. (a) Green revolution
  2. (b) Promotion of tourism
  3. (c) Expansion of services
  4. (d) Heavy industrialisation
Answer & solution

Answer: (d) Heavy industrialisation

RRB NTPC UG CBT-1 2024-25 – 3 September 2025 Shift 1 · Planning Commission and NDC

Q166. Who among the following joined the Planning Commission as its Vice-Chairman in March 1950?

  1. (a) Gulzarilal Nanda
  2. (b) John Mathai
  3. (c) Jagjeevan Ram
  4. (d) Shyama Prasad Mukherjee
Answer & solution

Answer: (a) Gulzarilal Nanda

RRB NTPC UG CBT-1 2024-25 – 3 September 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q167. What was the main characteristic of the Indian economy at the time of independence in 1947?

  1. (a) Predominantly agrarian with low productivity
  2. (b) High per capita income
  3. (c) Self-sufficiency in food grains
  4. (d) Dominance of the industrial sector
Answer & solution

Answer: (a) Predominantly agrarian with low productivity

RRB NTPC UG CBT-1 2024-25 – 3 September 2025 Shift 3 · Five-Year Plans - objectives and models

Q168. Employment generation became a focus in later Five-Year Plans. Which Five-Year Plan introduced the Integrated Rural Development Programme (IRDP)?

  1. (a) Fourth Plan
  2. (b) Sixth Plan
  3. (c) Fifth Plan
  4. (d) Seventh Plan
Answer & solution

Answer: (b) Sixth Plan

RRB NTPC UG CBT-1 2024-25 – 2 September 2025 Shift 1 · Five-Year Plans - objectives and models

Q169. Rapid industrialisation was a hallmark of India's early planning efforts. Which Five-Year Plan laid the foundation for India's public sector steel plants?

  1. (a) Fifth Plan
  2. (b) Fourth Plan
  3. (c) Second Plan
  4. (d) First Plan
Answer & solution

Answer: (c) Second Plan

RRB NTPC UG CBT-1 2024-25 – 2 September 2025 Shift 1 · Five-Year Plans - objectives and models

Q170. Which of the following sectors was the primary focus of India's First Five-Year Plan (1951–56)?

  1. (a) Defence and Security
  2. (b) Industry and Infrastructure
  3. (c) Services and Education
  4. (d) Agriculture and Irrigation
Answer & solution

Answer: (d) Agriculture and Irrigation

RRB NTPC UG CBT-1 2024-25 – 2 September 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q171. Colonial economic policies created a skewed distribution of income and wealth in Indian society. Which of the following is a key indicator of income inequality in colonial India?

  1. (a) Equitable distribution of irrigation
  2. (b) Uniform wages across sectors
  3. (c) Unequal land ownership patterns
  4. (d) High literacy rate among workers
Answer & solution

Answer: (c) Unequal land ownership patterns

RRB NTPC UG CBT-1 2024-25 – 1 September 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q172. During the colonial period, the manufacturing sector accounted for only ______.

  1. (a) 5%
  2. (b) 16%
  3. (c) 1%
  4. (d) 10%
Answer & solution

Answer: (d) 10%

SSC Selection Post 2025 (Phase XIII) – 29 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q173. Between 1947 and 1990, which type of economic system did India largely follow?

  1. (a) Pure Capitalism
  2. (b) Pure Socialism
  3. (c) Mixed Economy
  4. (d) Laissez-faire Economy
Answer & solution

Answer: (c) Mixed Economy

Correct Answer: Option 3 – Mixed Economy
From 1947 to 1990, India followed a Mixed Economy model — combining elements of both socialism (state ownership of key industries, central planning via Five-Year Plans, public sector dominance) and capitalism (private enterprise, market mechanisms, property rights). The state controlled 'commanding heights' of the economy (steel, coal, banking, heavy industry) while allowing private sector participation in other areas. This model was articulated by the Industrial Policy Resolution 1948 and 1956.
Option 1 (Pure Capitalism): Pure capitalism involves free markets with no government intervention — the opposite of India's heavily planned economy pre-1991.
Option 2 (Pure Socialism): Pure socialism involves state ownership of all means of production — India retained a significant private sector, so it was not pure socialism.
Option 4 (Laissez-faire Economy): Laissez-faire means minimal government intervention — India had extensive licensing (License Raj), regulations, and planning; this is the antithesis of India's pre-1991 economy.
RRB NTPC UG CBT-1 2024-25 – 29 August 2025 Shift 1 · Five-Year Plans - objectives and models

Q174. Who among the following presented the First Five-Year Plan on July 9, 1951?

  1. (a) Jawaharlal Nehru
  2. (b) Sardar Vallabhbhai Patel
  3. (c) Purushottam Das Tandon
  4. (d) Rajendra Prasad
Answer & solution

Answer: (a) Jawaharlal Nehru

RRB NTPC UG CBT-1 2024-25 – 29 August 2025 Shift 2 · Five-Year Plans - objectives and models

Q175. Which of the following Five-Year Plans was based on the Harrod-Domar Model?

  1. (a) Fifth
  2. (b) Third
  3. (c) Seventh
  4. (d) First
Answer & solution

Answer: (d) First

RRB NTPC UG CBT-1 2024-25 – 29 August 2025 Shift 3 · Five-Year Plans - objectives and models

Q176. Centralised planning influenced India's industrial strategy for decades. Under which five-year plan were small-scale industries given specific protection and incentives?

  1. (a) Second Plan
  2. (b) Fourth Plan
  3. (c) Fifth Plan
  4. (d) Third Plan
Answer & solution

Answer: (a) Second Plan

RRB NTPC UG CBT-1 2024-25 – 28 August 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q177. During 1950–1990, India mainly exported which type of goods?

  1. (a) Automobiles
  2. (b) Primary products
  3. (c) Crude oil
  4. (d) Capital goods
Answer & solution

Answer: (b) Primary products

RRB NTPC UG CBT-1 2024-25 – 28 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q178. Which sector was the dominant contributor to India's GDP immediately after independence in 1947?

  1. (a) Industrial
  2. (b) Services
  3. (c) Foreign trade
  4. (d) Agriculture
Answer & solution

Answer: (d) Agriculture

RRB NTPC UG CBT-1 2024-25 – 22 August 2025 Shift 1 · Five-Year Plans - objectives and models

Q179. What was the main objective of India’s First Five Year Plan (1951–56)?

  1. (a) Agricultural development
  2. (b) Privatisation of PSUs
  3. (c) Growth of IT services
  4. (d) Heavy industrialisation
Answer & solution

Answer: (a) Agricultural development

RRB NTPC UG CBT-1 2024-25 – 22 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q180. During the colonial period, the services sector accounted for only _____.

  1. (a) 15-20%
  2. (b) 25-32%
  3. (c) 5-10%
  4. (d) 22-29%
Answer & solution

Answer: (a) 15-20%

RRB NTPC UG CBT-1 2024-25 – 22 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q181. Which of the following sectors employed the largest share of India’s population before independence?

  1. (a) Trade
  2. (b) Industry
  3. (c) Services
  4. (d) Agriculture
Answer & solution

Answer: (d) Agriculture

RRB NTPC UG CBT-1 2024-25 – 21 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q182. Which of the following industries was operational in India at the time of independence?

  1. (a) Iron and steel industry
  2. (b) Electronics industry
  3. (c) Aerospace industry
  4. (d) Automobile industry
Answer & solution

Answer: (a) Iron and steel industry

RRB NTPC UG CBT-1 2024-25 – 21 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q183. What was the reason for stagnation in the agricultural sector during the colonial rule?

  1. (a) Establishment of large scale industries by the colonial government
  2. (b) Extreme commercialisation of agriculture by the colonial government
  3. (c) Imposition of high taxes on the food grains and cash crops by the colonial government
  4. (d) Various systems of land settlement that were introduced by the colonial government
Answer & solution

Answer: (d) Various systems of land settlement that were introduced by the colonial government

RRB NTPC UG CBT-1 2024-25 – 21 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q184. What percentage of the Indian population was dependent on agriculture around the time of independence?

  1. (a) About 70%
  2. (b) About 90%
  3. (c) About 50%
  4. (d) About 30%
Answer & solution

Answer: (a) About 70%

RRB NTPC UG CBT-1 2024-25 – 21 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q185. Colonial policies significantly altered India’s trade structure. Which of the following best describes India’s foreign trade pattern at the time of independence?

  1. (a) Export of raw materials and import of manufactured goods
  2. (b) Export of finished goods and import of raw materials
  3. (c) Export of capital goods and import of consumer goods
  4. (d) Balanced trade between agriculture and industry
Answer & solution

Answer: (a) Export of raw materials and import of manufactured goods

RRB NTPC UG CBT-1 2024-25 – 21 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q186. The main objective of British economic policies in India was to:

  1. (a) industrialise India
  2. (b) promote Indian self-sufficiency
  3. (c) support rural employment
  4. (d) benefit the British economy
Answer & solution

Answer: (d) benefit the British economy

RRB NTPC UG CBT-1 2024-25 – 20 August 2025 Shift 2 · Five-Year Plans - objectives and models

Q187. Where was rural development particularly emphasised in the Seventh Five-Year Plan?

  1. (a) Rural capital formation areas
  2. (b) Urban centers
  3. (c) Industrial zones
  4. (d) Foreign markets
Answer & solution

Answer: (a) Rural capital formation areas

RRB NTPC UG CBT-1 2024-25 – 20 August 2025 Shift 2 · Planning Commission and NDC

Q188. The Planning Commission was the nodal body for central planning in India. Who served as the first Chairman of the Planning Commission?

  1. (a) BR Ambedkar
  2. (b) Sardar Vallabhbhai Patel
  3. (c) CD Deshmukh
  4. (d) Jawaharlal Nehru
Answer & solution

Answer: (d) Jawaharlal Nehru

RRB NTPC UG CBT-1 2024-25 – 20 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q189. What percentage of India’s population lived mostly in villages during the British colonial rule?

  1. (a) About 95%
  2. (b) About 75%
  3. (c) About 65%
  4. (d) About 85%
Answer & solution

Answer: (d) About 85%

RRB NTPC UG CBT-1 2024-25 – 20 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q190. 70-75% people during the colonial period were engaged in _________.

  1. (a) agriculture activities
  2. (b) the transport sector
  3. (c) small scale industries
  4. (d) mining activities
Answer & solution

Answer: (a) agriculture activities

RRB NTPC UG CBT-1 2024-25 – 19 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q191. What was one of the major characteristics of India’s economy at the time of independence in 1947?

  1. (a) Dominance of the services sector
  2. (b) Heavy dependence on agriculture and low productivity
  3. (c) Strong trade surplus
  4. (d) Self-sufficiency in manufacturing
Answer & solution

Answer: (b) Heavy dependence on agriculture and low productivity

RRB NTPC UG CBT-1 2024-25 – 18 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q192. Which sector witnessed the slowest growth during the period of 1947 to 1991?

  1. (a) Industrial sector
  2. (b) Infrastructure sector
  3. (c) Agricultural sector
  4. (d) Service sector
Answer & solution

Answer: (c) Agricultural sector

RRB NTPC UG CBT-1 2024-25 – 18 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q193. Which sector dominated India’s national income before independence?

  1. (a) Industry
  2. (b) Banking
  3. (c) Trade and transport
  4. (d) Agriculture
Answer & solution

Answer: (d) Agriculture

RRB NTPC UG CBT-1 2024-25 – 18 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q194. Which of the following correctly describes India's foreign trade structure at the time of independence?

  1. (a) High exports of finished goods
  2. (b) Balanced trade
  3. (c) Export of raw materials and import of manufactured goods
  4. (d) Complete trade isolation
Answer & solution

Answer: (c) Export of raw materials and import of manufactured goods

RRB NTPC UG CBT-1 2024-25 – 18 August 2025 Shift 3 · Indian economy at independence and the 1950-90 phase

Q195. Employment patterns during 1947-1991 showed limited diversification. Which sector employed the largest share of India’s workforce throughout this period?

  1. (a) Secondary sector
  2. (b) Agriculture
  3. (c) Services sector
  4. (d) Infrastructure
Answer & solution

Answer: (b) Agriculture

RRB NTPC UG CBT-1 2024-25 – 14 August 2025 Shift 3 · Five-Year Plans - objectives and models

Q196. Post-independence, India adopted a planned approach to build a mixed economy. Which sector was given top priority under the First Five-Year Plan?

  1. (a) Defence
  2. (b) Tertiary
  3. (c) Agriculture
  4. (d) Industry
Answer & solution

Answer: (c) Agriculture

RRB NTPC UG CBT-1 2024-25 – 12 August 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q197. Which economic system dominated India on the eve of independence (in 1947)?

  1. (a) Socialist planned economy
  2. (b) Import substitution industrialisation
  3. (c) Colonial agrarian economy
  4. (d) Global free market
Answer & solution

Answer: (c) Colonial agrarian economy

RRB NTPC UG CBT-1 2024-25 – 12 August 2025 Shift 1 · Indian economy at independence and the 1950-90 phase

Q198. Which sector(s) employed the largest share of the working population in India on the eve of independence?

  1. (a) Tertiary sector
  2. (b) Primary sector
  3. (c) Both tertiary and secondary sectors
  4. (d) Secondary sector
Answer & solution

Answer: (b) Primary sector

RRB NTPC UG CBT-1 2024-25 – 11 August 2025 Shift 2 · Five-Year Plans - objectives and models

Q199. Which sector was given top priority under the Second Five-Year Plan of India (1956-61)?

  1. (a) Heavy and basic industries
  2. (b) Agriculture
  3. (c) Education and health
  4. (d) Small-scale industries
Answer & solution

Answer: (a) Heavy and basic industries

RRB NTPC UG CBT-1 2024-25 – 8 August 2025 Shift 2 · Indian economy at independence and the 1950-90 phase

Q200. Which of the following statements regarding the estimation of India’s national and per capita income during the colonial rule is correct?

  1. (a) The colonial government estimated India’s national and per capita income sincerely every year.
  2. (b) The colonial government estimated India’s per capita income but ignored national income.
  3. (c) The colonial government never made any sincere attempt to estimate India’s national and per capita income.
  4. (d) The colonial government estimated India’s national income but ignored per capita income.
Answer & solution

Answer: (c) The colonial government never made any sincere attempt to estimate India’s national and per capita income.

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