At independence, the prevalence of rampant poverty and unemployment required ________ of public economic policy. Which option fills the blank, and which goal of India’s five year plans later answered this need most directly?
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Welfare orientation; equity
At independence, rampant poverty and unemployment called for a welfare orientation of public economic policy. Among the goals of the five year plans, equity answers this most directly: it aims to make the benefits of growth reach the poor too, and to meet everyone’s basic needs.
Option (1) Welfare orientation; equity — Correct. Both parts fit.
Option (2) Welfare orientation; self-reliance — Incorrect. The blank is right, but self-reliance means avoiding imports of goods that can be produced at home. It does not deal with poverty directly.
Option (3) Export orientation; equity — Incorrect. The goal is right, but poverty and unemployment called for a welfare orientation.
Option (4) Export orientation; modernisation — Incorrect. Both parts are wrong. Modernisation means adopting new technology, which does not by itself help the poor.
This question uses Indian Economy on the Eve of Independence and Indian Economy 1950-1990 together.
NCERT (2026-27): “1.9 Conclusion … Infrastructure facilities, including the famed railway network, needed upgradation, expansion and public orientation. Prevalence of rampant poverty and unemployment required welfare orientation of public economic policy. In a nutshell, the social and economic challenges before the country were enormous.” Indian Economy 1950-1990: “Equity: Now growth, modernisation and self-reliance, by themselves, may not improve the kind of life which people are living. A country can have high growth, the most modern technology developed in the country itself, and also have most of its people living in poverty. It is important to ensure that the benefits of economic prosperity reach the poor sections as well instead of being enjoyed only by the rich. So, in addition to growth, modernisation and self-reliance, equity is also important. …” |