UPSC Prelims 1996·GS1·economy·planning

The Eighth Five-Year Plan is different from the earlier ones. The critical difference lies in the fact that

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  1. Ait has a considerably larger outlay compared to the earlier plans
  2. Bit has a major thrust on agricultural and rural development
  3. Cconsiderable emphasis is placed on infrastructure growthCorrect
  4. Dindustrial licensing has been abolished

Explanation

The Eighth Five Year Plan 1992 to 1997 was launched immediately after the 1991 economic reforms. While earlier plans focused heavily on direct government control over the industrial sector, the Eighth Plan shifted the state's role towards becoming an enabler. The critical difference was the transition to a market linked economy where the government focused on developing core infrastructure such as energy, transport, and communications to facilitate private sector growth. While industrial licensing was indeed abolished during this period, that was a policy change under the 1991 New Economic Policy rather than a defining structural characteristic of the Eighth Plan itself. The plan specifically prioritized infrastructure as the foundation for the new liberalized economic model.
economy: The Eighth Five-Year Plan is different from the earlier ones. The critical difference lies in the fact that
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