What was the share of industry in India's GDP in 1950-1951?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3: 13%.
Explanation:
At the time of independence, the Indian economy was primarily agrarian. In the year 1950–1951, the industrial sector's share of India's Gross Domestic Product (GDP) was merely 13%. This indicates that, at that time, India's industrial base was very limited, and the majority of the country's income was derived from the agricultural sector.
Additional Facts:
- Industrial Growth: Following the First Five-Year Plan—and particularly during the Second Five-Year Plan (1956–61)—a strong emphasis was placed on heavy industries (such as the Bhilai, Rourkela, and Durgapur steel plants), which led to an upward trend in this percentage.
- Shift by 1990–91: By the year 1990–91, the industrial sector's share of the GDP had risen to approximately 24.6%.
- Current Status: Currently, the service sector contributes the largest share (over 50%) to the Indian economy, while the industrial sector's contribution hovers between approximately 25% and 28%.
Potential Questions for Upcoming Exams:
Question: Which Five-Year Plan is known as the 'Industrial Plan' in India?
Answer: The Second Five-Year Plan (P.C. Mahalanobis Model).
Question: Approximately what was the contribution of the agricultural sector to India's GDP in 1950–51?
Answer: Approximately 50–55%.
Question: Among the three sectors of the Indian economy (Primary, Secondary, and Tertiary), which currently makes the largest contribution?
Answer: The Tertiary Sector (Service Sector).