Annual Plan Proposals 1990-91 A Part of Eighth Five Year Plan (1900-95) Volume - I

Abstract

It is possible in the present context to have two alternative approaches to planning in our economy. Corresponding to these two approaches, there will be two different kinds of organisations for formulation and implementation of plans. In one approach, one can choose to accept the existing unequal distribution of assets, particularly of land in agriculture and capital in industry, and then talk about planning for production in agriculture or industry. It is this approach which has been primarily followed in the past at the national level. Section 1 considers pithily this approach, with its implied priorities and organisational structure, and also shows how this approach has been responsible for some of the major problems confronting our economy such as (a) unemployment, poverty and low purchasing power of the common people, (b) inflation, (c) fiscal imbalance with increasing quantum of deficit financing, (d) balance of payments problem with mounting external debt, (e) over-centralisation in Centre-State relations and (f) alienation of the common people from the planning process.