Planning Commission Practice Questions
20 free Planning Commission practice questions for the Indian Polity. Tap an option to answer — you get instant feedback, the correct answer, and a detailed explanation for every question.
In which year was the Planning Commission of India established?
- A 1947
- B 1948
- C 1950
- D 1951
Correct answer: 1950
The Planning Commission was established on March 15, 1950, by an executive resolution of the Government of India. It was created to promote a rapid rise in the standard of living of the people by efficient exploitation of the country's resources.
The Planning Commission was which type of body?
- A Constitutional body
- B Statutory body
- C Non-constitutional and non-statutory body
- D Autonomous body created by an Act of Parliament
Correct answer: Non-constitutional and non-statutory body
The Planning Commission was neither created by the Constitution nor by an Act of Parliament. It was an advisory body established by a cabinet resolution, making it an extra-constitutional and non-statutory entity.
Who was the ex-officio Chairman of the Planning Commission?
- A The President of India
- B The Finance Minister
- C The Prime Minister
- D The Minister of Planning
Correct answer: The Prime Minister
The Prime Minister of India served as the ex-officio Chairman of the Planning Commission. This ensured that the highest executive authority was directly involved in the nation's socio-economic planning.
Who was the first Deputy Chairman of the Planning Commission?
- A Jawaharlal Nehru
- B Gulzari Lal Nanda
- C C.D. Deshmukh
- D V.T. Krishnamachari
Correct answer: Gulzari Lal Nanda
Gulzari Lal Nanda was the first Deputy Chairman of the Planning Commission. While the Prime Minister was the Chairman, the Deputy Chairman was the functional head responsible for the day-to-day work of the commission.
The concept of Five-Year Plans in India was borrowed from which country?
- A USA
- B UK
- C USSR
- D France
Correct answer: USSR
India adopted the model of centralized economic planning from the Soviet Union (USSR). Joseph Stalin had implemented the first Five-Year Plan there in the late 1920s.
Which body was responsible for the final approval of the Five-Year Plans prepared by the Planning Commission?
- A The Indian Parliament
- B The Union Cabinet
- C The National Development Council
- D The Finance Commission of India
Correct answer: The National Development Council
The National Development Council (NDC), established in 1952, was the highest body for decision-making and deliberations on development matters. Its approval was necessary for the Five-Year Plans to be implemented.
The 'Plan Holiday' period in Indian planning history refers to which years?
- A 1962–1965
- B 1966–1969
- C 1978–1980
- D 1990–1992
Correct answer: 1966–1969
Between 1966 and 1969, the government implemented three Annual Plans instead of a Five-Year Plan due to economic instability following wars and droughts. This period is famously known as the 'Plan Holiday'.
Who was the last Deputy Chairman of the Planning Commission before it was dissolved?
- A Manmohan Singh
- B Pranab Mukherjee
- C Montek Singh Ahluwalia
- D Arvind Panagariya
Correct answer: Montek Singh Ahluwalia
Montek Singh Ahluwalia served as the Deputy Chairman from 2004 until the commission was replaced in 2014. He held the rank of a Cabinet Minister during his tenure.
Which Five-Year Plan was terminated one year ahead of its schedule by the Janata Party government in 1978?
- A Third Plan
- B Fourth Plan
- C Fifth Plan
- D Sixth Plan
Correct answer: Fifth Plan
The Fifth Five-Year Plan (1974–1979) was terminated in 1978 by the Morarji Desai-led government. They subsequently introduced the 'Rolling Plan' for the period 1978–1980.
The Planning Commission was often criticized as being a 'Super Cabinet' because:
- A It had more members than the Union Cabinet.
- B It encroached on the Finance Commission and Cabinet.
- C It was chaired directly by the President of India.
- D Its decisions were legally binding on the States.
Correct answer: It encroached on the Finance Commission and Cabinet.
Critics argued that the Planning Commission exercised excessive influence over financial allocations and policy matters, bypassing constitutional bodies like the Finance Commission. This led to its description as a parallel or 'Super Cabinet'.
Which Article of the Constitution was cited as the source of executive power used to create the Planning Commission?
- A Article 73
- B Article 162
- C Article 280
- D Article 312
Correct answer: Article 73
Article 73 deals with the extent of the executive power of the Union. Since the Planning Commission was created by an executive resolution under the authority of the Union Government, it draws its validity from this power.
The First Five-Year Plan (1951–1956) was based on which economic model?
- A Mahalanobis Model
- B Harrod-Domar Model
- C Solow Growth Model
- D Gandhian Model
Correct answer: Harrod-Domar Model
The First Plan focused heavily on the agricultural sector and was based on the Harrod-Domar model. The Second Plan later shifted focus to heavy industries using the Mahalanobis model.
Which function of the Planning Commission is now performed by the Finance Commission alone?
- A Preparation of Five-Year economic plans
- B Allocation of capital for development projects
- C Allocation of revenue grants under Article 275
- D Assessment of human and natural resources
Correct answer: Allocation of revenue grants under Article 275
During the Planning Commission era, there was an overlap in recommending grants to states. With the dissolution of the Planning Commission, the Finance Commission remains the primary constitutional body for tax devolution and statutory grants.
Who was the Chairman of the Planning Commission when the 12th Five-Year Plan was launched?
- A Atal Bihari Vajpayee
- B Narendra Modi
- C Manmohan Singh
- D P. Chidambaram
Correct answer: Manmohan Singh
The 12th Five-Year Plan (2012–2017) was launched under the chairmanship of Dr. Manmohan Singh. It was the last Five-Year Plan in India's history.
The 'Rolling Plan' concept was introduced in India by which government?
- A Indian National Congress
- B Janata Party
- C Bharatiya Janata Party
- D United Front
Correct answer: Janata Party
The Janata Party government, headed by Morarji Desai, introduced the Rolling Plan in 1978. Unlike fixed plans, a rolling plan is revised and extended every year based on performance.
Which Prime Minister announced the dissolution of the Planning Commission in his Independence Day speech?
- A V.P. Singh
- B I.K. Gujral
- C Manmohan Singh
- D Narendra Modi
Correct answer: Narendra Modi
On August 15, 2014, Prime Minister Narendra Modi announced the intention to replace the Planning Commission with a new institution. This led to the creation of NITI Aayog on January 1, 2015.
The Planning Commission served as an advisory body to which of the following?
- A The Supreme Court
- B The Government of India
- C The Reserve Bank of India
- D The Election Commission
Correct answer: The Government of India
The Planning Commission was an advisory body to the Union Government. It made recommendations for the formulation of plans, but the final decision-making power rested with the Cabinet and the NDC.
Before the Planning Commission, which committee recommended the setting up of a planning body in 1946?
- A K.C. Neogy Committee
- B Balwant Rai Mehta Committee
- C Gorwala Committee
- D Santhanam Committee
Correct answer: K.C. Neogy Committee
The Advisory Planning Board, chaired by K.C. Neogy, recommended the establishment of a single, compact, and authoritative organization for planning in 1946. This eventually paved the way for the 1950 resolution.
What was the main reason for the replacement of the Planning Commission with NITI Aayog?
- A To increase centralized government control
- B To move from a 'Top-Down' to a 'Bottom-Up' approach
- C To reduce the role of the Prime Minister in planning
- D To make planning a constitutional requirement
Correct answer: To move from a 'Top-Down' to a 'Bottom-Up' approach
NITI Aayog was created to foster 'Cooperative Federalism' and move away from the centralized 'one-size-fits-all' planning of the Planning Commission. It emphasizes the active involvement of State Governments in the planning process.
How many Five-Year Plans were successfully completed in India before the commission was abolished?
- A 10
- B 11
- C 12
- D 15
Correct answer: 12
India completed twelve Five-Year Plans between 1951 and 2017. Although the Planning Commission was dissolved in 2014, the 12th Plan was allowed to complete its term until 2017.