Question

Which five-year plan made in 1956 focused on the development of heavy industries like steel and construction of large dams?

• A. Second Five-Year Plan
• B. Fourth Five-Year Plan
• C. First Five-Year Plan
• D. Third Five-Year Plan

Answer 1

Answer:

A. Second Five-Year Plan

The Second Five-Year Plan, implemented in 1956, focused on the development of heavy industries, including steel and the construction of large dams, and was based on the Mahalanobis model The Nehru-Mahalanobis model was adopted in the second five-year Plan. The main objective of this plan was rapid industrialization with particular emphasis on the development of basic and heavy industries. Industrial Policy of 1956 accepted the establishment of a socialistic pattern of society as the goal of economic policy. The main architect of this model was Prof. P.C. Mahalanobis. The basic strategy was, "to increase investment in heavy industries and also on expenditure on services, to increase purchasing power and create fresh demand and on other hand, to increase the supply of consumer goods by increasing investment and production as much as possible in the small and household industries to meet the new demand."