Consider the following statements about the economic policies of Pakistan:
(A) Pakistan follows the mixed economy model, with public and private sectors existing together.
(B) In the late 1950s and 1960s, Pakistan gave tariff protection to the manufacturing of capital goods.
(C) In the 1970s, Pakistan nationalised its capital goods industries.
(D) In the late 1970s and 1980s, the major thrust areas were denationalisation and encouragement of the private sector.
(E) The Green Revolution in Pakistan led to an increase in private investment in infrastructure in select areas.
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A), (C) and (D) only
Pakistan’s path had a mixed economy, protection, then nationalisation and later denationalisation.
(A) Pakistan follows the mixed economy model, with public and private sectors existing together. — Correct. Pakistan has a mixed economy with public and private sectors side by side.
(B) In the late 1950s and 1960s, Pakistan gave tariff protection to the manufacturing of capital goods. — Incorrect. Tariff protection went to consumer goods, along with direct controls on competing imports.
(C) In the 1970s, Pakistan nationalised its capital goods industries. — Correct. Capital goods industries were nationalised in the 1970s.
(D) In the late 1970s and 1980s, the major thrust areas were denationalisation and encouragement of the private sector. — Correct. Policy then turned to denationalisation and the private sector.
(E) The Green Revolution in Pakistan led to an increase in private investment in infrastructure in select areas. — Incorrect. It led to public investment in infrastructure, along with mechanisation.
NCERT (2026-27): “8.2 Developmental Path—a Snapshot View … Pakistan: While looking at various economic policies that Pakistan adopted, you will notice many similarities with India. Pakistan also follows the mixed economy model with co-existence of public and private sectors. In the late 1950s and 1960s, Pakistan introduced a variety of regulated policy framework (for import substitution-based industrialisation). The policy combined tariff protection for manufacturing of consumer goods together with direct import controls on competing imports. The introduction of Green Revolution led to mechanisation and increase in public investment in infrastructure in select areas, which finally led to a rise in the production of foodgrains. This changed the agrarian structure dramatically. In the 1970s, nationalisation of capital goods industries took place. Pakistan then shifted its policy orientation in the late 1970s and 1980s when the major thrust areas were denationalisation and encouragement of private sector. …” |