Read the below statements:
Statement I: The Sixth Five-Year Plan aimed at income growth and modernization of technology through various schemes.
Statement II: The Third Five-Year Plan failed due to various factors such as wars, rupee devaluation and food crisis.
Which of the above statements is/are correct?
Show answer & explanation
Correct answer: D
Explanation
Answer: Both statements I and II are correct
Explanation: Statement I is correct: The Sixth Five-Year Plan (1980–1985) focused on modernization of the economy, technological advancement, and promoting income growth through various developmental schemes. It marked a shift toward economic liberalization and poverty reduction strategies.
Statement II is also correct: The Third Five-Year Plan (1961–1966) failed to achieve its targets mainly due to external shocks and domestic crises, including the Indo-China War (1962), Indo-Pak War (1965), food shortages, and rupee devaluation in 1966. These factors severely disrupted planned economic growth.
Additional Key Facts:
The Third Plan was India’s first attempt at making the economy self-sufficient, but it was disrupted.
Due to its failure, India shifted to Plan Holidays (1966–1969).
The Sixth Plan is often considered successful in improving industrial productivity and reducing poverty.
Five-Year Plans in India were inspired by the Soviet planning model.
Potential Exam-Oriented Questions & Answers:
Question: What were the main causes of failure of the Third Five-Year Plan?
Answer: Wars, food crisis, and rupee devaluation.
Question: Which country’s model influenced India’s Five-Year Plans?
Answer: Soviet Union.