How was the Planning Commission set up?
Answer & explanation
Correct answer: option 2
The Planning Commission was set up in March 1950 by a simple resolution of the Government of India. It has an advisory role and its recommendations become effective only when the Union Cabinet approved these.
Unlike constitutional bodies such as the Election Commission of India or the Supreme Court of India, the Planning Commission was not mentioned in the Indian Constitution. It derived its powers and functions solely from the resolution that established it.