Overview of Second Five-Year Plan

What is Five Years Plan?

The Five Year Plans were planned, developed, and executed under the Planning Commission, from 1951 to 2014 and after it from 2015-2017 under NITI Aayog. Montek Singh Ahluwalia was represented as the last deputy chairman of the Five-year Planning Commission. He laid his resignation on the date 26th May in the year 2014. However, in the year 2014, Then Prime Minister Mr. Narendra Modi made an announcement about the dissolution of the Planning Commission and the establishment of the NITI Aayog....

What is the Meaning of the Socialistic Pattern of Society:

The Socialist Pattern of Society was introduced by Karl Marx in collaboration with Friedrich Engels. The Socialist pattern of society involves the role of central planning for decision-making....

Under which ‘Five year Plan’ was the Decision to Establish a Socialistic Pattern of Society Taken?

The decision to establish a socialist pattern of society was undertaken under the authority of Pandit Jawaharlal Nehru, during the years 1956 to 1961 respectively. The second five-year plan was based on the P.C. Mahalanobis Model. A long-term strategy was developed keeping the process of rapid industrialization in mind. The target predicted growth rate was to be 4.5%, but only the growth rate of 4.27% was achieved. Due to the lag achieved in the growth rate, the second five-year plan faced a huge amount of criticism in society. The experts highlighted that the nation faced a large payment crisis in the year of 1957....

Second Five-Year Plan:

The second five-year plan was designed and developed keeping in mind the success of the first five-year plan. The growth of the first-year plan leads to a boost in the confidence of the government nationwide. Since the growth target was met up, the government decided to shift its focus to another domain apart from agriculture....

Overview of Second Five-Year Plan:

The second five-year plan resulted in an increase in the production of coal. In addition to this, steel factories were also set up in the areas of Rourkela, Bhilai, and Durgapur. Scholarships were started in order to teach and train young students in the nuclear power industry. It was started in the year 1957. The Tata Institute of Fundamental Research was also established during this year....

Conclusion:

The second five-year plan emphasized about 25% increase in the GDP. This can be achieved using fast industrialization. Industrialization is referred to as the establishment and development of heavy and stable industries. There was a major focus on industrialization during the second five-year plan. The major plan behind this idea was to lay down the expansion of a public enterprise covering the arenas of both industrial and mineral development. The only drawback of the second-year plan was that the large imports, as well as both the forward and backward linkages, lead to the shortage of set targets....

Related Frequently Asked Questions and Answers:

1Q. What is the implication of the name “Five Year Plan”?...