NCERT Solutions for Class 12 Economics Part B Chapter 8 Development Experience of India - A Comparison with Neighbours
Q. First five year plan of ___________ commenced in the year 1956.
Q. Maternal Mortality Rate is high in ________.
Q. What similar developmental strategies have India and Pakistan followed for their respective developmental paths?
Ans. India and Pakistan both have followed a similar developmental strategy. The main similarities between the developmental strategies can be summed up as:
Q. Why are regional and economic groupings formed?
Ans. With the objective of understanding various means and strategies to strengthen the economies, different nations of the world are motivated to form regional and global economic groups like SAARC, European Union, ASEAN, etc. The formation of such regional and economic groups helps the member countries to know the development strategies and measures adopted by other member countries. This enables them to analyse their strength and weakness and, thereby, formulate policies to accelerate social progress and cultural development among its member countries. Secondly, another important purpose behind setting up of these groups is maintenance of peace and stability of the member countries. In addition to this, these groups provide a common platform to raise their voice in a unified manner on common issues to safeguard their common interests.
Q. What are the various means by which countries are trying to strengthen their own domestic economies?
Ans. The following are the various means through which the nations are trying to strengthen their own domestic economies:
Q. China’s rapid industrial growth can be traced back to its reforms in 1978. Do you agree? Elucidate.
Ans. Yes, it cannot be denied that China’s rapid industrial growth is an aggregate outcome of the various economic reforms introduced in phases since 1978.
In the initial phase, reforms were initiated in the agriculture, foreign trade and investment sectors. The system of collective farming known as the Commune System was implemented. Under this system, the land was divided into small plots that were allocated to the individual households. These households were allowed to keep the remaining income from land after paying the taxes to the government.
In the later phase, reforms were initiated in the industrial sector. During this phase, the private firms and village and township enterprises were allowed to produce goods and services and compete with the state-owned enterprises.
The reforms also included dual pricing. The dual pricing implies that the farmers and the industrial units were required to buy and sell a fixed quantity of inputs and output at a fixed price, and the remaining quantities were traded at the market price. Gradually, with the rapid increase in aggregate production in the later years, the quantities traded in the market increased by many folds.
The reforms also included the setting up of Special Economic Zones to attract foreign investors. Therefore, China’s rapid industrial growth is attributable to the success of different phases of its economic reforms.