Partition values

Short Questions

1. What are partition values?
Answer: Values that divide data into equal parts.

2. Name three types of partition values.
Answer: Quartiles, Deciles, Percentiles.

3. What is the second quartile also called?
Answer: Median.

4. How many parts do quartiles divide data into?
Answer: Four equal parts.

5. What is the formula for Q1 in individual data?
Answer: Size of (n+1)/4th observation.

6. How many deciles are there in a dataset?
Answer: Nine deciles.

7. What does the 50th percentile represent?
Answer: Median of the data.

8. What is the use of cumulative frequency in quartile calculation?
Answer: To find the quartile class.

9. What is the Mahalanobis distance?
Answer: A measure to compare two data sets.

10. When is Statistics Day celebrated in India?
Answer: June 29.

Long Questions

1. Explain the need for partition values in data analysis.
Answer: Partition values like median, quartiles, deciles, and percentiles are used when data has extreme values (outliers). Averages can misrepresent such data, so partition values provide a better representation by dividing data into equal parts, showing the spread and central tendency accurately.

2. What are quartiles, and how are they calculated for individual data?
Answer: Quartiles divide data into four equal parts (Q1, Q2, Q3). For individual data, arrange data in ascending order, then use the formula Qi = size of [i(n+1)/4]th observation, where i = 1, 2, 3, to find Q1, Q2, and Q3.

3. How are deciles useful in economics?
Answer: Deciles divide data into ten equal parts and are used to study economic inequality, poverty levels, and drought conditions. They help analyze portfolio performance in investments, providing insights into income and wealth distribution.

4. Describe the application of percentiles in economic data.
Answer: Percentiles divide data into 100 parts and are used to measure test scores, health indicators, household income, and wages. They help in benchmarking and comparing economic changes like wage fluctuations and inflation.

5. What is the formula for calculating Q1 in continuous data?
Answer: For continuous data, Q1 = l + [(n/4 – cf)/f] × h, where l is the lower limit of the quartile class, cf is the cumulative frequency before the quartile class, f is the frequency of the quartile class, and h is the class width.

6. How do you calculate D5 for discrete data?
Answer: For discrete data, arrange observations in ascending order. Use the formula Dj = size of [j(n+1)/10]th observation, where j = 5 for D5. Locate the 5th decile by finding the corresponding observation.

7. Why is median considered a partition value?
Answer: Median divides data into two equal parts, with half the observations above and half below it. As the second quartile (Q2), it is a partition value that represents the central position in an ordered dataset.

8. What is the significance of Statistics Day in India?
Answer: Statistics Day, celebrated on June 29, honors P.C. Mahalanobis for his contributions to economic planning and statistics. It highlights the importance of statistics in data analysis and policy-making in India.

9. How are percentiles calculated for continuous data?
Answer: For continuous data, Pk = l + [(kn/100 – cf)/f] × h, where l is the lower limit of the percentile class, cf is the cumulative frequency before the class, f is the frequency, h is the class width, and k is the percentile number.

10. Explain the role of quartiles in financial data analysis.
Answer: Quartiles are used to analyze financial data like income, stock, and sales. They help study income changes due to economic factors like inflation, providing a clear picture of data distribution and trends.

Partition values

Introduction

Partitioning is the process of dividing data into equal parts.
Partition Values are values that divide a dataset into equal parts.
Examples: Median, Quartiles, Deciles, Percentiles
These values are also called “Fractiles” and are a part of descriptive statistics.

Why Partition Values are Needed

Sometimes data has very small or very large values (outliers).
These can affect the average (mean), giving a wrong impression of the dataset.
Partition values help to accurately represent the data.

Types of Partition Values

1. Median (Q₂)
It is the middle value when data is arranged in order.
Divides data into two equal parts.
Formula (for ungrouped data):

Formula (for grouped data):

2. Quartiles (Q₁, Q₂, Q₃)
Divide the data into four equal parts.
Q₁ (First Quartile): 25% of data below it.
Q₂ (Second Quartile): Same as Median.
Q₃ (Third Quartile): 75% of data below it.
Formula (for ungrouped data):

Formula (for grouped data):

3. Deciles (D₁ to D₉)
Divide data into ten equal parts.
D₁ = 10% data below, D₉ = 90% data below.
Formula (for ungrouped data):

Formula (for grouped data):

4. Percentiles (P₁ to P₉₉)
Divide data into 100 equal parts.
P₁ = 1% data below, P₉₉ = 99% data below.
Formula (for ungrouped data):

Formula (for grouped data):

Terminology Used in Formulas

l = lower limit of the class interval
cf = cumulative frequency before the class
f = frequency of the class
h = class width
n = total number of observations

Economic planning in India

Short Questions

1. What is economic planning?
Answer: Economic planning is a time-bound program to achieve specific objectives using available resources by a planning authority.

2. When was the Planning Commission established in India?
Answer: The Planning Commission was established in 1950.

3. Who is the Ex-Officio Chairman of the Planning Commission?
Answer: The Prime Minister of India is the Ex-Officio Chairman.

4. What replaced the Planning Commission in 2015?
Answer: NITI Aayog replaced the Planning Commission in 2015.

5. What was the main objective of the First Five Year Plan?
Answer: The main objective was the development of agriculture.

6. What is the full form of NITI Aayog?
Answer: National Institution for Transforming India.

7. What was the focus of the Twelfth Five Year Plan?
Answer: It focused on faster, sustainable, and inclusive growth.

8. Who chairs NITI Aayog?
Answer: The Prime Minister of India chairs NITI Aayog.

9. What is a think-tank in the context of NITI Aayog?
Answer: A think-tank is a group of experts that discusses problems and finds solutions.

10. What is the target GDP growth rate of the Twelfth Five Year Plan?
Answer: The target GDP growth rate was 8%.

Long Questions

1. What is the Bombay Plan, and what was its purpose?
Answer: The Bombay Plan was a 1944 economic proposal by Indian industrialists to promote rapid industrialization after independence. It aimed to strengthen the economy through government-led industrial growth and infrastructure development, influencing India’s early economic planning.

2. Explain the People’s Plan and its key focus.
Answer: The People’s Plan, proposed in 1944 by M.N. Roy, focused on agriculture and rural development. It emphasized improving living standards through decentralized planning, prioritizing small-scale industries and equitable resource distribution.

3. What was the Gandhian Plan, and what did it emphasize?
Answer: The Gandhian Plan, proposed by S.N. Agarwala in 1944, emphasized self-sufficient villages and cottage industries. It aimed to promote rural development, reduce dependency on imports, and foster economic independence through local production.

4. What are the main features of economic planning in India?
Answer: Economic planning involves a central authority, comprehensive surveys, clear objectives, prioritized targets, resource mobilization, fixed plan periods, periodic evaluations, continuous processes, coordination between center and states, and flexibility to adapt to changes.

5. Describe the objectives of the Twelfth Five Year Plan (2012-2017).
Answer: The Twelfth Five Year Plan aimed for an 8% GDP growth, 4% agricultural growth, 10% industrial growth, poverty reduction by 10%, and 50 million new jobs. It also focused on improving education, health, infrastructure, and environmental sustainability.

6. How does NITI Aayog differ from the Planning Commission in terms of state involvement?
Answer: NITI Aayog promotes greater state involvement through cooperative federalism, encouraging states to actively participate in national policy-making. Unlike the Planning Commission, which had limited state roles, NITI Aayog fosters collaboration and decentralized planning.

7. What is the structure of NITI Aayog?
Answer: NITI Aayog is chaired by the Prime Minister, with a Vice-Chairperson, five full-time members, two part-time members, four ex-officio members, and a CEO. It includes a Governing Council of state Chief Ministers and regional councils for specific issues.

8. Explain the role of NITI Aayog as a think-tank.
Answer: As a think-tank, NITI Aayog evolves a shared national development vision, provides policy guidance, and fosters cooperative federalism. It supports states with consultancy, research, and best practices to address challenges and promote good governance.

9. What are the key functions of NITI Aayog?
Answer: NITI Aayog develops a national agenda, supports states, promotes decentralized planning, acts as a knowledge hub, monitors policies, and fosters cooperative federalism. It also handles consultancy, conflict resolution, and technological upgrades.

10. Why was the Twelfth Five Year Plan extended, and what was NITI Aayog’s role post-2017?
Answer: The Twelfth Five Year Plan was extended by six months until October 2017 to complete appraisals. Post-2017, NITI Aayog took over, focusing on cooperative federalism, state collaboration, and long-term development through vision documents and policy guidance.

Introduction

Economic planning in India started in 1950 with the establishment of the Planning Commission. The Prime Minister is the Ex-Officio Chairman of this body. The Planning Commission included experts from fields like banking, finance, and industry. Its main job was to create economic plans for the country. In 2015, it was replaced by NITI Aayog.

Key Plans to Know

• Bombay Plan: A plan proposed in 1944 by leading industrialists to promote industrial and economic growth after independence.
• People’s Plan: Focused on agriculture, small-scale industries, and self-reliance, proposed by M.N. Roy in 1944.
• Gandhian Plan: Emphasized rural development, cottage industries, and self-sufficiency, based on Mahatma Gandhi’s principles.

Meaning of Economic Planning

Economic planning is a time-bound program to achieve specific goals using available resources. It is managed by a planning authority (like the Planning Commission or NITI Aayog).

Definitions

• Dr. H. D. Dickinson: Economic planning involves making major decisions about production, allocation, and distribution based on a detailed study of the economy.
• Mrs. Barbara Wooten: Planning is the deliberate choice of economic priorities by a public authority.

Features of Economic Planning

• Central Planning Authority: A body like the Planning Commission or NITI Aayog oversees planning. In India, NITI Aayog replaced the Planning Commission in 2015.
• Survey: A detailed study of human and natural resources is conducted to understand their availability and use.
• Objectives: Plans have clear, realistic, and flexible goals.
• Priorities and Targets: Priorities are set for important sectors, and targets are specific steps to achieve objectives.
• Mobilization of Resources: Funds are raised through taxes, savings, public debt, deficit financing, or foreign aid.
• Plan Period: Plans usually last for five years in India.
• Evaluation: Plans are reviewed (e.g., mid-term appraisals) to make necessary changes.
• Continuous Process: Planning is ongoing to ensure economic development.
• Coordination: The central government and states work together for effective planning.
• Flexibility: Plans can be adjusted based on changing needs.

Five Year Plans (FYP) at a Glance

India’s Five Year Plans started in 1951 to guide economic development. Below is a summary:

Calculation (D6 and D9)

Using the Achievements column:

• D6 (6th term in sequence): Achievements = [3.6, 4.1, 2.7, 3.3, 4.8, 5.7, 6.0, 6.8, 5.6, 7.8, 7.9].
  D6 = 5.7 (6th Five Year Plan achievement).
• D9 (9th term in sequence): D9 = 5.6 (9th Five Year Plan achievement).

12th Five Year Plan (2012-2017)

The 12th Plan focused on Sustainable Growth through agriculture, education, health, and social welfare. It also aimed to boost employment in manufacturing.

Targets

Economic Growth:

• Real GDP growth: 8%.
• Agriculture growth: 4%.
• Manufacturing growth: 10%.
• Every state to achieve higher growth than in the 11th Plan.

Poverty and Employment:

• Reduce poverty by 10%.
• Create 50 million non-farm jobs.

Education:

• Increase average schooling to 7 years.
• Improve access to higher education and skill development.
• Eliminate gender and social gaps in school enrollment.

Health:

• Reduce total fertility rate to 2.1%.
• Cut undernutrition in children (0-3 years) to half of NFHS-3 levels.

Infrastructure:

• Increase investment in infrastructure to 9% of GDP.
• Connect all villages with all-weather roads.
• Achieve 70% rural television and telephone density.

Environment and Sustainability:

Increase green cover by 1 million hectares annually.

Service Delivery:

• Provide banking access to 90% of households.
• Shift subsidies to direct cash transfers using Aadhaar-linked bank accounts.

National Family Health Survey (NFHS)

NFHS is a large-scale survey conducted in India to collect data on health, nutrition, and family welfare. Key levels:

• NFHS-1 (1992-93): Focused on maternal and child health.
• NFHS-2 (1998-99): Added data on reproductive health and domestic violence.
• NFHS-3 (2005-06): Included HIV testing and nutrition data.
• NFHS-4 (2015-16): Provided state and district-level data.
• NFHS-5 (2019-21): Latest survey with updated health and welfare indicators.

NITI Aayog

NITI Aayog (National Institution for Transforming India) was established on January 1, 2015, replacing the Planning Commission. It promotes cooperative federalism by involving states in planning and aims for faster economic growth.

Structure

• Chairperson: Prime Minister of India.
• Vice-Chairperson: Appointed by the Prime Minister.
• Full-Time Members: 5 members.
• Part-Time Members: 2 members.
• Ex-Officio Members: Up to 4 Union Ministers, nominated by the Prime Minister.
• Chief Executive Officer (CEO): Appointed by the Prime Minister, with the rank of Secretary.
• Governing Council: Includes Chief Ministers of all states and Governors of Union Territories.
• Regional Councils: Formed to address specific regional issues.
• Special Invitees: Experts nominated by the Prime Minister.
• Secretariat: As needed.

Functions

• Shared National Agenda: Creates a vision for national development with state involvement.
• States’ Best Friend: Supports states by coordinating with ministries and building capacity.
• Decentralized Planning: Plans from village to national level (bottom-up approach).
• Knowledge and Innovation Hub: Promotes research and best practices in governance.
• Monitoring and Evaluation: Tracks policies and programs for efficiency.
• Cooperative and Competitive Federalism: Encourages states to participate in national policy-making.
• Other Functions: Includes consultancy, conflict resolution, and technological upgrades.

Pillars of NITI Aayog

• Vision Document of India.
• Appraisal of the 12th Five Year Plan.
• Transforming India Lecture Series.
• Doubling Farmers’ Income.
• Outcome Budget and Output-Outcome Framework.
• Global Entrepreneurship Summit 2017.
• Program for Aspirational Districts.

Comparison: Planning Commission vs. NITI Aayog

Union Budget

The Union Budget is the annual financial statement of the government, presented by the Finance Minister in February (shifted to February 1 for early fund allocation). It includes:

Estimated receipts and expenditure for the financial year (April 1 to March 31).
Tax structure changes.
Allocations for defense, education, research, etc.

Economic planning in India

EXERCISE

Q. 1. Choose the correct option:

1. Statements that are true about the Planning Commission:
a) Planning Commission was established in 1950.
b) The Prime Minister is the Ex-Officio Chairman of Planning Commission.
c) Economic planning is a time-bound programme.
d) Economic planning is based on predetermined objectives.
Options:
1. a and b
2. a, b, c, and d
3. a and c
4. None of these

Answer: 2) a, b, c, and d
Explanation: All the statements are true. The Planning Commission was established in 1950, the Prime Minister is its Ex-Officio Chairman, economic planning is time-bound, and it is based on predetermined objectives.

2. Statements that are incorrect regarding India’s five-year plans:
a) The main objective of the first five-year plan was the development of agriculture.
b) Social welfare and poverty eradication were the prime objectives of the seventh five-year plan.
c) By the second five-year plan, focus increased on faster, inclusive growth.
d) Development of both agriculture and industry were the main objectives of the third five-year plan.
Options:
1. a
2. a, b, and d
3. c
4. b and d

Answer: 3) c
Explanation: Statement c is incorrect because the second five-year plan focused on the development of heavy industries, not faster, inclusive growth (which was a later objective, e.g., in the 11th and 12th plans). The other statements are correct as per the table provided.

3. Identify the correct pairs from the given options:

Options:
1) 1-c, 2-a, 3-d, 4-b
2) 1-d, 2-b, 3-a, 4-c
3) 1-d, 2-c, 3-b, 4-a
4) 1-b, 2-d, 3-c, 4-a

Answer: 3) 1-d, 2-c, 3-b, 4-a
Explanation:
Economic Planning is a time-bound programme (d).
The Twelfth Five-Year Plan aimed for fast and sustainable growth (c).
NITI Aayog is a think-tank group of the Indian Government (b).
The NITI Aayog Vice-Chairperson is selected by the Prime Minister (a).

4. Choose the correct statement:
Statement 1: NITI Aayog takes note of dynamic change in the Indian economy.
Statement 2: Considering the economic, social, and technological differences in underdeveloped districts, the body plans to implement various programmes and bring about economic changes.
Options:
a) Statement 1 is correct
b) Statement 2 is correct
c) Statement 2 is the result of Statement 1
d) There is no relation between Statement 1 and Statement 2

Answer: c) Statement 2 is the result of Statement 1
Explanation: NITI Aayog’s ability to adapt to dynamic economic changes (Statement 1) enables it to plan and implement programmes for underdeveloped districts (Statement 2), making Statement 2 a result of Statement 1.

Q. 2. Give economic terms:

1. Conscious and deliberate choice of economic priorities by some public authority.
Answer: Economic Planning
Explanation: As per Mrs. Barbara Wooten’s definition, economic planning involves a deliberate choice of economic priorities by a public authority.

2. A group of people called forth by the government to discuss various problems and also try to find solutions to them.
Answer: Think-Tank
Explanation: The document defines a think-tank as a group of experts gathered by the government to address problems and propose solutions, as exemplified by NITI Aayog.

Q. 3. Identify and explain the concepts from the given illustrations:

1. Sayali’s mother maintains a book of accounts for household purposes and plans the expenditure accordingly.
Concept: Economic Planning
Explanation: Economic planning involves setting objectives and allocating resources systematically to achieve them. Sayali’s mother plans household expenditure by maintaining accounts, which is a small-scale example of economic planning.

2. Ramabai gets a subsidy on domestic LPG directly transferred to her bank account.
Concept: Direct Cash Transfer
Explanation: The 12th Five-Year Plan aimed to shift subsidies to direct cash transfers using the Aadhaar platform. Ramabai receiving an LPG subsidy directly in her bank account illustrates this concept.

3. To solve classroom-related issues, the teacher forms a group of students. This group discusses the problems and finds solutions to it.
Concept: Think-Tank
Explanation: A think-tank is a group formed to discuss problems and find solutions. The group of students formed by the teacher to address classroom issues functions like a think-tank.

Q. 4. Answer the Following:

1. Explain the features of Economic Planning.
Answer: Economic planning has the following features:

• Central Planning Authority: A body like the Planning Commission or NITI Aayog undertakes planning.
• A Survey: A comprehensive study of human and natural resources is conducted.
• Objectives: Plans are based on realistic and flexible goals.
• Priorities and Targets: Priorities are set for key sectors, and targets are specific steps to achieve objectives.
• Mobilisation of Resources: Funds are raised through taxation, savings, public debt, etc.
• Plan Period: Plans typically span a fixed period, e.g., five years in India.
• Evaluation: Periodic reviews, like mid-term appraisals, ensure necessary adjustments.
• Continuous Process: Planning is ongoing to support economic development.
• Co-ordination: Planning involves collaboration between the central and state governments.
• Flexibility: Plans are adaptable to changing needs during implementation.

2. Explain the targets of the 12th Five-Year Plan.
Answer: The targets of the 12th Five-Year Plan (2012–2017) were:

• Economic Growth: Achieve an 8% real GDP growth rate, 4% agricultural growth, 10% industrial growth, and higher state-level growth than the 11th Plan.
• Poverty and Employment: Reduce poverty by 10% and create 50 million non-farm jobs.
• Education: Increase mean years of schooling to seven, improve access to higher education, and eliminate gender/social gaps in school enrolment.
• Health: Reduce the total fertility rate to 2.1% and halve undernutrition in children aged 0–3 years (per NFHS-3 levels).
• Infrastructure: Increase investment in infrastructure to 9% of GDP, connect all villages with all-weather roads, and achieve 70% rural television/telephone density.
• Environment and Sustainability: Increase green cover by 1 million hectares annually.
• Service Delivery: Provide banking access to 90% of households and shift subsidies to direct cash transfers using Aadhaar.

3. Explain the structure of NITI Aayog.
Answer: The structure of NITI Aayog, as per the resolution of January 1, 2015, and its amendment, is:

• Governing Council: Includes Chief Ministers of all states and Governors of Union Territories.
• Regional Councils: Formed to address specific regional issues, involving multiple states.
• Special Invitees: Experts and specialists nominated by the Prime Minister.

Organisational Framework:

• Chairperson: Prime Minister of India.
• Vice-Chairperson: Appointed by the Prime Minister.
• Full-Time Members: Five members.
• Part-Time Members: Two members.
• Ex-Officio Members: Up to four Union Council of Ministers, nominated by the Prime Minister.
• Chief Executive Officer (CEO): Appointed by the Prime Minister, with the rank of Secretary to the Government of India.
• Secretariat: As required.

4. Explain the functions of NITI Aayog.
Answer: The functions of NITI Aayog are:

Shared National Agenda: Develops a vision for national development with state involvement, creating a framework for the Prime Minister and Chief Ministers.
States’ Best Friend at the Centre: Supports states by coordinating with ministries, advocating their ideas, and providing consultancy and capacity-building.
Decentralized Planning: Promotes a bottom-up planning model, starting from villages to the national level.
Knowledge and Innovation Hub: Collects and promotes best practices in governance through a resource centre.
Monitoring and Evaluation: Tracks policy implementation and evaluates outcomes to improve efficiency and enable data-driven decisions.
Co-operative and Competitive Federalism: Encourages state participation in national policy formulation and time-bound target achievement.
Other Functions: Includes inter-consultancy, conflict resolution, and technological upgradation.

5. Distinguish between Planning Commission and NITI Aayog.
Answer:

Q. 5. State with reasons whether you agree or disagree with the following statements:

1. State governments have a more significant role to play under NITI Aayog.
Answer: Agree
Reason: NITI Aayog promotes cooperative federalism, involving states actively in policy formulation and implementation. Unlike the Planning Commission, where states had limited roles (e.g., in the National Development Council), NITI Aayog’s Governing Council includes Chief Ministers, ensuring states have a greater say in national development.

2. Functions of the Planning Commission have been transferred to NITI Aayog.
Answer: Disagree
Reason: The Planning Commission had the power to allocate funds and frame policies, while NITI Aayog is a think-tank that advises and supports states without direct fund allocation or policy-making authority. Thus, the functions have not been fully transferred; NITI Aayog has a different role focused on cooperative federalism and policy guidance.

3. The objective of the 12th Five-Year Plan was to achieve faster, sustainable, and inclusive growth.
Answer: Agree
Reason: The 12th Five-Year Plan (2012–2017) explicitly aimed for “faster, sustainable, and more inclusive growth,” as stated in the document. It focused on economic growth, poverty reduction, education, health, and environmental sustainability to achieve these goals.

Q. 6. Read the following passage carefully and answer the questions:
Passage:

The Finance Minister of the Central Government presents the Union Budget before the Parliament during the month of February every year. The budget, also referred to as the annual financial statement, reflects the estimated receipts and expenditure of the government for a particular financial year that begins on the 1st of April and ends on 31st March. Changes in the tax structure are suggested in the budget. Besides this, provisions are also made for allocating expenditure on defence, education, research, and development, etc. The date for presenting the budget has been shifted to the 1st of February every year. This enables the generation of funds well in advance prior to the commencement of the financial year.

1. Where is the Union Budget usually presented?
Answer: The Union Budget is usually presented before the Parliament.

2. What all aspects are considered while preparing the budget?
Answer: The budget considers estimated receipts and expenditure, changes in the tax structure, and allocations for sectors like defence, education, research, and development.

3. Why is the date for presenting the budget shifted to the 1st of February?
Answer: The date was shifted to the 1st of February to enable the generation of funds well in advance before the financial year begins on April 1.

4. Explain the term ‘budget’.
Answer: A budget is an annual financial statement that outlines the estimated receipts (income) and expenditure (spending) of the government for a financial year, from April 1 to March 31. It includes tax structure changes and allocations for various sectors.

Economic Policy of India Since 1991

Short Questions

1. What was the main reason for adopting the New Economic Policy (NEP) in 1991?
Answer: Economic crisis, low foreign reserves, and high inflation.

2. What does delicensing mean in the context of NEP 1991?
Answer: Removal of government licenses for starting businesses.

3. Name one industry that still requires compulsory licensing.
Answer: Defence equipment.

4. What is the purpose of the Securities and Exchange Board of India (SEBI)?
Answer: To protect investors and regulate the securities market.

5. What is disinvestment under privatization?
Answer: Selling shares of public sector units to private companies.

6. How many industries are currently reserved for the public sector?
Answer: Two (railways and atomic energy).

7. What is the role of the National Renewal Board (NRB)?
Answer: To compensate workers affected by the closure of public sector units.

8. What is the main aim of globalization in NEP 1991?
Answer: To integrate the Indian economy with the world economy.

9. Name one Navratna company mentioned in the policy.
Answer: Indian Oil Corporation (IOC).

10. What replaced the Foreign Exchange Regulation Act (FERA)?
Answer: Foreign Exchange Management Act (FEMA).

Long Questions

1. Why was the New Economic Policy of 1991 introduced in India?
Answer: India faced an economic crisis in 1991 with low foreign reserves, high inflation (16.7%), and a fiscal deficit. The NEP was introduced to stabilize the economy, promote growth, and integrate with global markets by reducing government control.

2. What is liberalization, and how did it help the Indian economy?
Answer: Liberalization means giving economic freedom to producers and consumers. It helped by removing restrictions like MRTP, allowing industries to expand, and introducing flexible interest rates, which boosted competition and growth.

3. How did the NEP 1991 encourage foreign investment in India?
Answer: The policy allowed Foreign Direct Investment (FDI) up to 51%, later increased to 74% and 100% in some industries. It opened high-priority sectors, encouraging foreign capital and technology to boost industrial growth.

4. What changes were made to the public sector under NEP 1991?
Answer: The number of industries reserved for the public sector was reduced from 17 to 8, and later to 2. Sick units were disinvested, and Navratna companies were given financial and managerial autonomy to improve efficiency.

5. What is privatization, and what steps were taken for it in NEP 1991?
Answer: Privatization means transferring public sector ownership to private hands. Steps included disinvestment of units like Maruti, dereservation of industries, and setting up the Board of Industrial and Financial Reconstruction (BIFR).

6. How did globalization affect the Indian ice-cream industry?
Answer: Globalization brought multinational ice-cream companies, offering more varieties and better delivery systems. It changed consumer preferences, increased demand, and supported growth due to improved cold chain infrastructure.

7. What are Special Economic Zones (SEZs), and how do they promote exports?
Answer: SEZs are areas with relaxed trade rules to boost exports. They offer incentives like tax benefits and easier import-export processes, encouraging businesses to produce and export goods efficiently.

8. What are the major achievements of the NEP 1991 in the IT sector?
Answer: The NEP led to a revolution in the IT sector, increasing India’s GDP. Indian software engineers gained global demand, and the sector became competitive, contributing significantly to economic growth.

9. What are the negative impacts of globalization on poor farmers in India?
Answer: Globalization benefits rich farmers growing exportable crops, but poor farmers struggle to compete. They face indebtedness, poverty, and are often forced to sell their land or take extreme steps.

10. How did reforms in the financial sector under NEP 1991 improve services?
Answer: The entry of private and foreign banks made the financial sector competitive. Services like credit cards and e-banking became faster and more professional, improving customer experience and efficiency.

Economic Policy of India Since 1991

Introduction

In the early 1990s, India faced a severe economic crisis:

• Foreign currency reserves were so low in June 1991 that they could only cover two weeks of imports.
• Inflation rate soared to 16.7% by August 1991.
• Government spending exceeded its revenue due to high costs on defense, subsidies, and loan interest.
• The socialist economic model was losing its positive impact, creating a need for change.

To address this, the Government of India introduced the New Economic Policy (NEP) in 1991. This policy aimed to modernize the economy by reducing government control and encouraging private and foreign participation.

Main Objectives of NEP 1991

• Integrate India into the global economy (Globalization).
• Reduce inflation.
• Fix the imbalance in the balance of payments (difference between exports and imports).
• Achieve higher economic growth.
• Build sufficient foreign exchange reserves.
• Stabilize the economy and reduce the fiscal deficit (gap between government income and spending).
• Promote free international trade with fewer restrictions.
• Increase the role of the private sector.

Features of NEP 1991

Delicensing:

• Removed the need for government licenses for most industries, except for four strategic ones:
• Electronic aerospace and defense equipment.
• Industrial explosives.
• Hazardous chemicals, drugs, and pharmaceuticals.
• Cigarettes.

Abolition of MRTP Act:

The Monopolies and Restrictive Trade Practices Act required large companies to get government approval for expansion or mergers. Its removal encouraged faster industrial growth.

Support for Small-Scale Industries:

Increased investment limit for small industries from ₹1 crore to ₹5 crore to boost production, jobs, and exports.

Encouraging Foreign Investment:

Allowed Foreign Direct Investment (FDI) up to 51% initially, later increased to 74% and 100% in specific industries to attract technology and capital.

Reducing Public Sector Role:

• Reduced industries reserved for the public sector from 17 to 2 (railways and atomic energy by 2014).
• Focused on improving efficiency and privatizing sick public sector units.

Trade Liberalization:

• Removed import licensing for most goods.
• Established Special Economic Zones (SEZs) and Agro Export Zones (AEZs) to boost exports.

Insurance Sector Reforms:

Ended government monopoly by passing the Insurance Regulatory and Development Authority Act (IRDA) in 1999, allowing private companies to enter.

Financial Sector Reforms:

Permitted private and foreign banks to operate, increasing competition and efficiency in banking.

Components of NEP 1991

The NEP is built on three pillars: Liberalization, Privatization, and Globalization.

A) Liberalization

Meaning: Giving economic freedom to producers, consumers, and businesses to make decisions based on their interests, reducing government restrictions.
Measures:

• Flexible Interest Rates: Banks can set interest rates based on market demand and supply.
• Freedom for Industrial Expansion: Industries can now decide production capacity without government limits.
• Abolition of MRTP Act: Large firms can make investment decisions freely.
• Reforms in FERA: Replaced Foreign Exchange Regulation Act (FERA) with Foreign Exchange Management Act (FEMA) to ease international trade.
• Infrastructure Investment: Opened rail, road, and power projects to private and foreign investors.
• Foreign Technology: Allowed use of advanced foreign technology in key industries.
• SEBI: Established Securities and Exchange Board of India in 1992 to regulate and protect the stock market.

B) Privatization

Meaning: Transferring ownership or management of public sector units to private companies to reduce government involvement.
Measures:

• Disinvestment: Selling shares of public sector units (e.g., Maruti, VSNL) to private companies.
• Dereservation Policy: Reduced industries reserved for the public sector from 17 to 2.
• Board of Industrial and Financial Reconstruction (BIFR): Decides the fate of sick public sector units.
• National Renewal Board (NRB): Compensates workers affected by the closure of public sector units.
• Navratna Status: Granted financial and managerial autonomy to top-performing public sector units like IOC, ONGC, and SAIL.
• Miniratna: Public sector companies with consistent profits (Category I: ₹30 crore+ pre-tax profit; Category II: positive net worth).
• Maharatna: Large public sector companies with global expansion potential, introduced in 2009.

C) Globalization

Meaning: Integrating India’s economy with the world by allowing free flow of goods, services, capital, and technology across borders.
Measures:

• Removal of Quantitative Restrictions: Eliminated limits on imports and exports and reduced import duties.
• Encouragement to Foreign Capital: Attracted foreign investment in various sectors.
• Rupee Convertibility: Made the rupee flexible for international transactions.
• Foreign Collaboration: Allowed Indian companies to partner with foreign firms (e.g., Maruti-Suzuki).
• Long-Term Trade Policy: Introduced liberal trade policies to encourage foreign trade.
• Export Incentives: Created SEZs and provided benefits through the EXIM policy to boost exports.

Achievements of NEP 1991

• IT Sector Growth: Indian IT professionals are in demand globally, contributing to GDP.
• Improved Financial Services: Private and foreign banks offer faster services like e-banking and credit cards.
• Better Education Standards: Students access global education through loans and scholarships.
• Increased Exports: Exports of machinery, chemicals, and computers have grown, improving the balance of payments.
• Diversified Agriculture: Farmers now grow horticulture, floriculture, and medicinal plants for global markets.
• Reduced Scarcity: Liberal imports help address shortages, controlling inflation.

Failures of NEP 1991

• Loss of Self-Sufficiency: Focus on exportable goods reduces food production capacity.
• Harm to Domestic Markets: Cheap imported goods flood markets, hurting local industries.
• Neglect of Poor Farmers: Rich farmers benefit, while small farmers struggle with debt and poverty.
• Unfair Competition: Indian businesses struggle against multinational companies, leading to closures.
• Neglect of Welfare: Privatized services like health and education prioritize profit over public welfare.
• Unemployment: Closure of local industries causes job losses, increasing poverty.

Economic Policy of India Since 1991

Exercise

Q. 1. Complete the following statements by choosing the correct alternative:

1. After Independence, India had adopted c) Mixed Economy.
2. The new economic policy approved foreign technology in d) High priority industries.
3. At present, the number of industries reserved for public sector has been reduced to d) 2.

2. Assertion and Reasoning questions:

1. Assertion (A): Delicensing of industries was an important step taken under liberalization.
Reasoning (R): Unwanted controls and restrictions led to economic stagnation prior to 1991.
(a) (A) is TRUE but (R) is FALSE
(b) (A) is FALSE but (R) is TRUE
(c) (A) and (R) both are TRUE and (R) is the correct explanation of (A)
(d) (A) and (R) both are TRUE but (R) is not the correct explanation of (A)

Answer: (c) (A) and (R) both are TRUE and (R) is the correct explanation of (A)

2. Assertion (A): In 1990-91, India faced an acute shortage of foreign exchange reserves.
Reasoning (R): Import quotas and tariffs led to an increase in imports.
(a) (A) is TRUE but (R) is FALSE
(b) (A) is FALSE but (R) is TRUE
(c) (A) and (R) both are TRUE and (R) is the correct explanation of (A)
(d) (A) and (R) both are TRUE but (R) is not the correct explanation of (A)

Answer: (a) (A) is TRUE but (R) is FALSE

3. Assertion (A): Post liberalization, the sale of domestic goods has increased.
Reasoning (R): The demand for imported goods had increased due to liberal policy.
(a) (A) is TRUE but (R) is FALSE
(b) (A) is FALSE but (R) is TRUE
(c) (A) and (R) both are TRUE and (R) is the correct explanation of (A)
(d) (A) and (R) both are TRUE but (R) is not the correct explanation of (A)

Answer: (b) (A) is FALSE but (R) is TRUE

4. Assertion (A): Due to Globalisation, a country cannot achieve self-sufficiency in food production.
Reasoning (R): Globalisation has created a revolution in the IT sector.
(a) (A) is TRUE but (R) is FALSE
(b) (A) is FALSE but (R) is TRUE
(c) (A) and (R) both are TRUE and (R) is the correct explanation of (A)
(d) (A) and (R) both are TRUE but (R) is not the correct explanation of (A)

Answer: (d) (A) and (R) both are TRUE but (R) is not the correct explanation of (A)

3. Find the odd word out:

1. New Economic Policy – Liberalization, Privatization, Demonetization, Globalisation
Answer: Demonetization

2. Industries requiring compulsory licensing – defense equipment, agro-based industries, cigarettes, industrial explosives
Answer: agro-based industries

3. Navratna status companies – SPCL, IOC, ONGC, HPCL
Answer: SPCL

4. Liberalization dealt with the following – MRTP, FERA, SEBI, NTPC
Answer: NTPC

4. Identify and explain the concepts from the given illustrations:

1. Vehicles manufactured by various automobile companies are now available in India.
Answer: Globalization.
Globalization means the interaction of the domestic economy with the rest of the world with regard to foreign investment, trade, production, and financial matters.

2. Government equity in some public sector enterprises is sold to the private sector.
Answer: Disinvestment.
A disinvestment is an act of selling shares of sick public sector units to the private sector.
Eg. Disinvestment of Maruti, ITDC hotels, VSNL, etc.

3. Foreign investments are encouraged on a large scale in the industrial sector of India.
Answer: Foreign Direct Investment (FDI).
FDI was approved under the Industrial Policy of 1991, to encourage investment in high-priority industries which require high investment and technology.

Q. 5. State with reasons whether you agree or disagree with the following statements:

1. Agree
Liberalisation has permitted the use of foreign technology in high-priority industries to reduce costs and enhance competitiveness, as stated in the policy measures.

2. Disagree
The government has not given private enterprises free access to all public sector industries. Only specific industries were opened, and two (railways and atomic energy) remain reserved for the public sector.

3. Disagree
The government’s monopoly in the insurance sector ended with the Insurance Regulatory and Development Authority Act (IRDA) of 1999, allowing private and foreign companies to enter the sector.

4. Agree
The National Renewal Board (NRB) was created to address unemployment and poverty by providing compensation to workers affected by the closure of loss-making public sector units.

5. Agree
Indian Oil Corporation (IOC) is listed as one of the nine public sector units granted Navratna status in 1997-98.

Q. 6. Answer in detail:

1. Features of Economic Policy of 1991

Delicensing: Abolished the need for government licenses for most industries, except for four strategic sectors: electronic aerospace and defence, industrial explosives, hazardous chemicals, and cigarettes.
Abolition of MRTP Act: Removed restrictions on large industrial houses for expansion and mergers, fostering industrial growth.
Encouragement to Small Sector: Increased investment limits for small-scale units from ₹1 crore to ₹5 crore to boost output and exports.
Encouraging Foreign Investment: Allowed FDI up to 51%, later increased to 74% and 100% in select industries to attract capital and technology.
Reducing Role of Public Sector: Reduced reserved industries from 17 to 2 (railways and atomic energy) to promote private sector participation.
Trade Liberalisation: Abolished import licensing, made capital goods freely importable, and set up SEZs and AEZs to boost exports.
Reforms in Insurance Sector: Ended government monopoly through the IRDA Act, allowing private and foreign companies to enter.
Reforms in Financial Sector: Permitted private and foreign banks to operate, enhancing competition and efficiency.

2. Measures Undertaken for Globalisation

Removal of Quantitative Restrictions: Eliminated restrictions on imports and exports and reduced import duties to facilitate free trade.
Encouragement to Foreign Capital: Opened the economy to foreign investments, attracting capital to various sectors.
Convertibility of Rupee: Made the rupee fully convertible for current account transactions, with flexible exchange rates.
Foreign Collaboration: Allowed Indian companies to form partnerships with foreign firms, e.g., Maruti-Suzuki and Tata-Corus.
Long-term Trade Policy: Introduced liberalized trade policies, removed restrictions, and encouraged foreign collaborations.
Encouragement to Exports: Provided incentives through EXIM policy and established Special Economic Zones to boost exports.

Q. 7. Read the following passage carefully and answer the questions:

1. Reason for Low Per Capita Consumption of Ice-Cream in India
The low per capita consumption of ice-cream (400 ml) in India is due to the prevalence of traditional sweets, with over 100 varieties, which are preferred over ice-cream as desserts.

2. Impact of Globalisation on the Indian Ice-Cream Industry
Globalisation has transformed the ice-cream industry by introducing multinational companies that set up ice-cream parlours offering diverse varieties and flavours, appealing to younger consumers. Improved delivery systems and a changing mindset towards global dessert options like ice-cream have further boosted the industry.

3. Factors Leading to the Growth of the Ice-Cream Industry in India
Improvement in cold chain infrastructure ensures better storage and distribution.
Increasing disposable income enables more consumers to afford ice-cream.
Changing lifestyles, influenced by globalization, drive demand for modern dessert options like ice-cream.

4. Views on Implications of Higher GST on Ice-Cream Industry
The 18% GST on ice-cream, compared to 12% on other dairy products like butter and cheese, increases the cost for consumers, potentially reducing demand, especially among price-sensitive customers. This higher tax rate may hinder the industry’s growth, as it makes ice-cream less competitive compared to other desserts or dairy products. A lower GST could make ice-cream more affordable, boosting consumption and supporting the industry’s expansion.

Poverty in India

Short Questions

1. What is poverty in the conventional sense?
Answer: Poverty is when people cannot meet basic needs like food, clothing, and shelter due to low income.

2. What is multi-dimensional poverty?
Answer: It includes lack of material needs (food, health, education) and non-material needs (social discrimination).

3. Who defined poverty as a lack of capabilities?
Answer: Prof. Amartya Sen.

4. What is absolute poverty?
Answer: It is measured by the inability to meet minimum calorie intake (2250 calories daily).

5. What is relative poverty?
Answer: It is based on comparing living standards, like income or wealth, among different groups.

6. What is the poverty line?
Answer: An imaginary line dividing poor and non-poor based on per capita household expenditure.

7. What is rural poverty caused by?
Answer: Low agricultural productivity, illiteracy, and lack of jobs.

8. What causes urban poverty?
Answer: Migration of rural poor, lack of housing, and slow industrial growth.

9. What is the vicious circle of poverty?
Answer: Low income leads to low savings, low investment, and low production, perpetuating poverty.

10. What is the goal of the UN Sustainable Development Goals (SDG1)?
Answer: To eradicate poverty in all forms by 2030.

Long Questions

1. Explain the concept of multi-dimensional poverty.
Answer: Multi-dimensional poverty covers both material and non-material deprivations. Material aspects include lack of food, shelter, health, and education, while non-material aspects involve social discrimination and lack of freedom. It highlights that poverty is not just about money but also about opportunities and capabilities.

2. How does absolute poverty differ from relative poverty?
Answer: Absolute poverty is about not having enough income to meet basic calorie needs (2250 calories daily) and is common in developing countries. Relative poverty compares living standards, like income or wealth, and exists in all countries. Absolute poverty can be eradicated, but relative poverty is harder to eliminate.

3. What is the role of the poverty line in India?
Answer: The poverty line divides the poor from the non-poor based on household expenditure. It helps identify the poor, track poverty over time, compare poverty across regions, and estimate funds needed for poverty alleviation programs. It is set at Rs. 972 (rural) and Rs. 1407 (urban) monthly per person (2011-12).

4. What are the main causes of rural poverty in India?
Answer: Rural poverty is caused by low agricultural productivity, drought, poor infrastructure, illiteracy, and lack of alternative jobs. Small and marginal farmers, landless laborers, and rural indebtedness also contribute. These factors limit income and access to basic needs.

5. Why is urban poverty a growing issue in India?
Answer: Urban poverty grows due to rural poor migrating to cities, leading to slum growth. Lack of affordable housing, illiteracy, and slow industrial growth limit job opportunities. Poor infrastructure and high living costs make it hard for urban poor to meet basic needs.

6. How does the vicious circle of poverty work?
Answer: The vicious circle of poverty, described by Prof. Ragnar Nurkse, shows how low income leads to low savings and investment. This results in low production and employment, keeping national income low. This cycle traps people in poverty, reducing economic growth.

7. What are the effects of poverty on India’s economy?
Answer: Poverty slows economic progress by reducing national and per capita income. It leads to low savings, investment, and capital formation, causing unequal opportunities. It also increases anti-social activities, class conflicts, and government spending on welfare, misallocating resources.

8. How does population explosion contribute to poverty?
Answer: Rapid population growth creates unequal resource distribution, leading to shortages of food, jobs, and infrastructure. This increases deprivation and poverty, as resources cannot meet the needs of a growing population, lowering per capita income and living standards.

9. What measures has the Indian government taken to eradicate poverty?
Answer: The government controls population growth, supports agriculture with cheap credit, and ensures food security via public distribution systems. It promotes rural jobs, education, health, and housing. Skill development and bank nationalization also help provide financial inclusion and self-employment.

10. How do the UN Sustainable Development Goals address poverty?
Answer: The UN SDGs, adopted in 2015, aim to end poverty by 2030 (SDG1). With 17 goals and 169 targets, they focus on social, economic, and environmental issues. India, a signatory, works to reduce poverty through policies like education, health, and infrastructure development.

Poverty in India

Introduction

Poverty is a major issue in India, affecting many people. It is a socio-economic problem where some sections of society are excluded from basic needs and opportunities. This exclusion is called social exclusion. Poverty has been a challenge since British rule due to economic exploitation, decline of traditional industries, and famines. After Independence, the Indian government has worked to reduce poverty through planning, reforms, and programs like Garibi Hatao (Remove Poverty).

Meaning of Poverty

Poverty means when people cannot afford basic needs like food, clothing, and shelter due to low income. It is not just about money but also about lacking opportunities and capabilities.

Multi-dimensional Poverty

Modern poverty is more than just lacking basic needs. It includes:

• Material Dimensions: Lack of food, clothing, shelter, healthcare, education, electricity, clean water, roads, and sanitation.
• Non-material Dimensions: Social discrimination and lack of freedom (e.g., economic, social, and political freedoms).

Amartya Sen’s View: Poverty is not only about money but also about not being able to achieve one’s full potential. It includes lack of freedom to meet hunger, access healthcare, education, or political rights. Sen’s work emphasizes that social reforms (like better education and health) are needed before economic growth.

Concepts of Poverty

Poverty is divided into two main types:

Absolute Poverty:

• Measured by minimum calorie intake (2400 calories/day for rural areas, 2100 calories/day for urban areas, average 2250 calories/day).
• Occurs when people cannot afford enough food to meet this calorie need.
• Common in developing countries like India.
• Can be eradicated with effective policies.

Relative Poverty:

• Based on comparing living standards (income, wealth, consumption) between different groups.
• Exists in all countries, even developed ones.
• Cannot be fully eliminated but can be reduced through policies.

Poverty Line

The poverty line is an imaginary line that separates the poor from the non-poor. It is based on per capita household expenditure needed to meet basic needs.

Objectives of Poverty Line

• Identify people Above Poverty Line (APL) and Below Poverty Line (BPL).
• Measure household consumption to find the poor.
• Track poverty over time and compare it across regions.
• Estimate funds needed for poverty alleviation programs.

World Bank Definition

• Poverty line: $1.90 per day (2011 prices, Purchasing Power Parity).
• In 2011-12, 21.2% of India’s population was below this line.

Rangarajan Committee (2014)

• Rural Poverty Line: Rs. 972/month (Rs. 32/day per person).
• Urban Poverty Line: Rs. 1407/month (Rs. 47/day per person).
• Poverty Ratio (2011-12): 30.9% (rural), 26.4% (urban), 29.5% (total).

Types of Poverty

• Rural Poverty:
• Found among small/marginal farmers, agricultural laborers, and landless workers.
• Causes: Low agricultural productivity, droughts, poor infrastructure, illiteracy, lack of jobs, and rural debt.
• Urban Poverty:
• Found in cities due to migration of rural poor, lack of affordable housing, illiteracy, slow industrial growth, and poor infrastructure.
• Leads to growth of slums and informal sector jobs, causing law and order issues.

Extent of Poverty

The poverty ratio measures the percentage of poor people in the population. Various committees have studied poverty in India since 1962.

State-wise Poverty Ratios (2011-12)

• High Poverty: Chhattisgarh (39.9%), Jharkhand (36.9%), Bihar (33.7%), Odisha (32.6%).
• Low Poverty: Kerala (7.1%), Himachal Pradesh (8.1%), Punjab (8.3%), Andhra Pradesh (9.2%).

Causes of Poverty

• Population Explosion: Rapid population growth leads to unequal resource distribution.
• Slow Economic Growth: Low agricultural and industrial growth results in low income.
• Unemployment/Underemployment: Lack of jobs or low-paying jobs increases poverty.
• Economic Inequalities: Unequal distribution of income, wealth, and land.
• Lack of Infrastructure: Poor access to energy, transport, health, and education.
• Inflation: Rising food prices reduce purchasing power, causing hunger and malnutrition.
• Regional Imbalance: States like Bihar, Odisha, and Jharkhand have higher poverty due to less development.
• Vicious Circle of Poverty (Ragnar Nurkse):
• Low income → Low savings → Low investment → Low production → Less employment → Low income.
• Other Causes:
• Natural disasters (floods, droughts).
• Discrimination (caste, religion, gender).
• Corruption and inefficiencies in administration.
• Leakages in public distribution systems.

Effects of Poverty

• Slows economic growth.
• Leads to low national and per capita income.
• Causes low savings, investment, and capital formation.
• Increases inequality and class conflicts.
• Rises anti-social activities (crime) and anti-national activities.
• Increases government spending on subsidies, leading to resource misallocation.
• Causes environmental damage due to overuse of resources by the poor.

Sustainable Development Goals (SDGs)

• Adopted by the UN in 2015, with 17 goals and 169 targets to be achieved by 2030.
• SDG 1: End poverty in all forms.
• India is committed to eradicating poverty by 2030.

Measures to Eradicate Poverty

• Population Control: Family welfare programs to reduce population growth.
• Agricultural Support: Cheap credit and Minimum Support Prices (MSP) for crops.
• Rural Works: Employment through rural infrastructure projects (roads, irrigation).
• Rural Industrialization: Promoting small-scale and cottage industries.
• Minimum Wages: Ensuring fair wages for workers (Minimum Wages Act, 1948).
• Public Distribution System (PDS): Subsidized food grains through ration shops.
• Bank Nationalization: Providing low-interest loans to the poor (1969, 1980).
• Progressive Taxation: Taxing higher incomes more to reduce inequality.
• Education: Free and compulsory primary education, mid-day meals, and free education for girls.
• Affordable Housing: Slum rehabilitation and housing schemes for the poor.
• Health Facilities: Subsidized medical care through primary health centers and government hospitals.
• Skill Development: Training programs to promote self-employment and entrepreneurship.

Poverty Alleviation Programs

• Employment Guarantee Scheme (EGS): Wage employment.
• Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS): Wage employment.
• Swarnajayanti Gram Swarozgar Yojana (SGSY): Self-employment.
• Jan Dhan Yojana (JDY): Financial inclusion.
• Swachh Bharat Mission (SBM): Sanitation.
• Sarva Shiksha Abhiyan (SSA): Education.
• Antyodaya Anna Yojana (AAY): Food security.
• Pradhan Mantri Awas Yojana (PMAY): Housing.
• National Health Mission (NHM): Health.