Which among the following is/are the objective(s) of setting up of Planning Commission in the 1950s in India?

1. To increase production and offering opportunities to all for employment

2. To make assessment of all resources of the country

Select the answer using the code given below:

The correct answer is Both 1 and 2.

Key Points

• The Planning Commission was established in March 1950 to promote a rapid rise in the standard of living of the people by efficient exploitation of the resources of the country.
• One of the primary objectives was to increase production and provide employment opportunities for all.
• It was also tasked with making assessments of all resources of the country and formulating plans for their efficient and balanced utilization.
• The Commission was to determine priorities, define stages of development, and propose the allocation of resources for each stage.
• It aimed at ensuring an increase in the output of goods and services, to improve the living standards of the people.

Additional Information

• The Planning Commission was an institution in the Government of India, which formulated India's Five-Year Plans, among other functions.
• The Commission was headed by the Prime Minister of India and had a Deputy Chairman, appointed by the Prime Minister.
• The First Five-Year Plan (1951-56) focused on the agricultural sector, and aimed to address the immediate problem of food shortages and inflation.
• In 2014, the Planning Commission was replaced by the NITI Aayog (National Institution for Transforming India), which serves as the policy think tank of the Government of India.
• The NITI Aayog aims to involve the states in economic policy-making in India and to promote cooperative federalism.