Full Chapter Summary & Detailed Notes
Key Definitions & Terms
60+ Questions & Answers
Key Concepts
Introduction
Types of Economic Systems
Goals of Five Year Plans
Agriculture
Industry
Trade and Self-Reliance
Interactive Quiz (20 Q)
Quick Revision Notes & Mnemonics
Full Chapter Summary & Detailed Notes - Indian Economy 1950-1990 Class 11 NCERT
Overview & Key Concepts
Chapter Goal : Understand post-independence economic planning; five-year plans goals; sector policies agriculture/industry/trade. Exam Focus: Mixed economy, goals (growth/modernisation/self-reliance/equity), land reforms, Green Revolution, industrial policy, import substitution. 2025 Updates: Comparisons with post-1991 liberalisation. Fun Fact: Mahalanobis model influenced second plan. Core Idea: Regulated mixed economy for welfare. Real-World: HYV seeds impact. Ties: To pre-independence stagnation (Ch1) and liberalisation (Ch3).Wider Scope : Planning merits/limitations, service sector peculiarity.
Introduction
Post-1947 independence; nation building, economic system choice. Nehru favored socialism but not Soviet-style; mixed economy with public/private, democracy. Depth: Industrial Policy 1948, Planning Commission 1950. Real-Life: Welfare focus. Exam Tip: Systems compare. Extended: First plan quote. Graphs: None. Historical: 15 Aug 1947. NCERT: Process for richer life.
Examples: Capitalism/socialism extremes avoided.
Point: Plan effort private encouraged.
Extended: Perspective plan. Errors: Full socialism? No. Scope: 1950-1990. Principles: Balanced. Real: Regulated. Additional: Farm visit activity. Depth: Conflicts goals. Interlinks: Sectors. Advanced: Mahalanobis role. Symbols: None.
Types of Economic Systems
Three questions: What/how/for whom produce. Capitalism: Market forces, purchasing power. Socialism: Government decides needs-based. Mixed: Market/government. Depth: India mixed. Real-Life: Free health socialism. Exam Tip: Pros/cons. Extended: Cuba/China examples. Graphs: None. Historical: Nehru sympathy. NCERT: Appeal to majority.
Examples: Cars vs bicycles demand.
Point: Poor left behind capitalism.
Extended: State ownership socialism. Errors: Pure? No. Scope: Global. Principles: Distribution. Real: India hybrid. Additional: Low-cost housing. Depth: Desires ignored socialism. Interlinks: Planning. Advanced: Principles. Symbols: None.
What is a Plan?
Resource use; general/specific goals, five-year duration. Perspective 20-year. Depth: Basis perspective. Real-Life: Conflicts like tech vs employment. Exam Tip: India not detailed goods. Extended: Soviet origin. Graphs: None. Historical: Second plan landmark. NCERT: Unrealistic equal importance.
Examples: Power/irrigation commanding.
Point: Balance difficult.
Extended: Upto 2017 documents. Errors: Centralised? Partial. Scope: National. Principles: Objectives. Real: Failed Soviet. Additional: Market rest. Depth: Specific sectors. Interlinks: Goals. Advanced: Conflicts. Symbols: None.
Goals of Five Year Plans
Growth: GDP increase, sectors contribution. Modernisation: New tech/social outlook. Self-reliance: Avoid imports. Equity: Benefits poor, reduce inequality. Depth: Not equal; choice limited resources. Real-Life: Women rights. Exam Tip: Definitions/examples. Extended: Service sector peculiar. Graphs: None. Historical: First seven plans. NCERT: Attain 1950-1990.
Examples: HYV seeds, machines.
Point: Prosperity all.
Extended: Imports food/tech vulnerable. Errors: All achieved? Partial. Scope: Four goals. Principles: Balanced. Real: Poverty persist. Additional: 40.59% service 1990. Depth: Structural change. Interlinks: Sectors. Advanced: Indicators. Symbols: Cake GDP.
Mahalanobis: The Architect of Indian Planning
Born 1893; ISI/Sankhya founder. Second plan based ideas. Depth: Invited economists, open critics. Real-Life: Royal Society fellow. Exam Tip: Contributions. Extended: Nobel invitees. Graphs: None. Historical: 1945 fellow. NCERT: Vital role progress.
Examples: Statisticians forum.
Point: Talent identifier.
Extended: Reject today but remembered. Errors: Socialist? Critical. Scope: Planning. Principles: Development. Real: Theory profit. Additional: Calcutta/Cambridge. Depth: International fame. Interlinks: Second plan. Advanced: Economics dictionary. Symbols: Photo.
The Service Sector
Structural change peculiar; service >40% 1990, like developed. Depth: Agriculture decline expected, industry not dominant. Real-Life: Post-1991 accelerated. Exam Tip: Phenomenon explain. Extended: >50% agriculture initially. Graphs: None. Historical: 1990 share. NCERT: Higher levels development.
Examples: Globalisation onset.
Point: Unusual India.
Extended: Poor country expect. Errors: Industry led? No. Scope: GDP. Principles: Change. Real: Service growth. Additional: None. Depth: Contributions. Interlinks: Growth. Advanced: Post 1991. Symbols: None.
Agriculture
No growth/equity colonial; reforms ownership, ceiling. Green Revolution HYV. Depth: Abolish intermediaries, tenants owners. Real-Life: Incentives increase output. Exam Tip: Merits/limitations. Extended: 200 lakh tenants. Graphs: None. Historical: U.S. imports. NCERT: Revolution ushered.
Examples: Zamindars exploit.
Point: Equity partial.
Extended: Ceiling reduce concentration. Errors: Full equity? No. Scope: Land. Principles: Tiller owner. Real: Output growth. Additional: Soviet fruits box. Depth: Incentives. Interlinks: Self-reliance. Advanced: Ceiling purpose. Symbols: None.
Industry and Trade
IPR 1948; public commanding, private small-scale. Protection tariffs/quotas. Depth: Import substitution self-reliance. Real-Life: Market regulation. Exam Tip: Policies merits. Extended: Licenses/permits. Graphs: None. Historical: 1950-1990. NCERT: Regulated economy.
Examples: Imports/exports 1990-2019.
Point: Limitations bureaucracy.
Extended: Self-reliance impact. Errors: Efficient? Slow. Scope: Sectors. Principles: Protection. Real: Growth moderate. Additional: Changes tech. Depth: Permits. Interlinks: Equity. Advanced: Substitution. Symbols: None.
Conclusion
Plans goals attained partial; merits welfare, limitations regulation. Depth: Post-1990 shift. Real-Life: Equity challenges. Exam Tip: Think regulated. Extended: Sectors development. Graphs: None. Historical: 1990 end. NCERT: Merits/limitations.
Examples: Modernisation women.
Point: Balanced approach.
Extended: Self-reliance food. Errors: Full success? No. Scope: Pre-1991. Principles: Planning. Real: Progress. Additional: Activities. Depth: Policies. Interlinks: All. Advanced: Conflicts. Symbols: None.
Summary
Mixed economy planning; goals growth/modernisation/self-reliance/equity; agriculture reforms/Green; industry protection/substitution; merits equity, limitations regulation.
Why This Guide Stands Out
Complete: All subtopics, examples, Q&A, quiz. Economics-focused. Free 2025.
Key Themes & Tips
Aspects : Planning, goals, sectors, self-reliance.Thinkers : Nehru, Mahalanobis.Tip: Goals explain; policies analyze; merits/limitations discuss; comparisons pre/post.
Exam Case Studies
Mahalanobis, Green Revolution, IPR 1948, import substitution.
Project & Group Ideas
Debate regulated vs market economy.
Chart plans goals.
Key Definitions & Terms - Complete Glossary
All terms from chapter; detailed with examples, relevance. Expanded: 20+ terms.
Mixed Economy
Market/government answer questions. Relevance: India model. Ex: Public essential. Depth: Hybrid.
Five Year Plans
Resource use goals. Relevance: 1950-2017. Ex: Perspective 20-year. Depth: Soviet origin.
Growth
GDP increase. Relevance: Output capacity. Ex: Sectors contribution. Depth: Indicator steady.
Modernisation
New tech/social outlook. Relevance: Production increase. Ex: HYV seeds. Depth: Women rights.
Self-Reliance
Avoid imports producible. Relevance: Sovereignty. Ex: Food/tech. Depth: Dependence reduce.
Equity
Benefits poor, inequality reduce. Relevance: Basic needs. Ex: Education/health. Depth: Wealth distribution.
Land Reforms
Ownership change. Relevance: Equity agriculture. Ex: Abolish intermediaries. Depth: Tillers owners.
Land Ceiling
Maximum size owned. Relevance: Concentration reduce. Ex: Few hands avoid. Depth: Equity promote.
Green Revolution
HYV seeds revolution. Relevance: Output increase. Ex: 1960s. Depth: Self-sufficiency.
Industrial Policy Resolution 1948
Public/private roles. Relevance: Commanding heights public. Ex: Outlook reflected. Depth: Directive principles.
Import Substitution
Produce imports domestically. Relevance: Self-reliance. Ex: Protection tariffs. Depth: Trade policy.
Mahalanobis Model
Second plan basis. Relevance: Heavy industry. Ex: Development planning. Depth: Architect.
Structural Change
Sectors GDP shift. Relevance: Peculiar service. Ex: Agriculture decline. Depth: Developed like.
Planning Commission
1950 set up. Relevance: Plans formulate. Ex: PM chairperson. Depth: Era begun.
Perspective Plan
20-year long-term. Relevance: Basis five-year. Ex: Objectives attain. Depth: Documents upto 2017.
High Yielding Variety (HYV)
Seeds output increase. Relevance: Green Revolution. Ex: Farm modernise. Depth: Technology adopt.
Ownership Incentives
Tillers profit motivate. Relevance: Output increase. Ex: Soviet fruits. Depth: Tenants lack.
Regulated Economy
Government control. Relevance: 1950-1990. Ex: Licenses. Depth: Merits/limitations.
Gross Domestic Product (GDP)
Goods/services value. Relevance: Growth indicator. Ex: Cake analogy. Depth: Sectors derive.
Small-Scale Industries
Private encouraged. Relevance: Employment. Ex: Protection. Depth: Public large.
Tip: Memorize goals; systems compare; reforms impacts; Mahalanobis role. Depth: Conflicts. Applications: India. Errors: Full self-reliance? Partial. Historical: Plans. Interlinks: Liberalisation. Advanced: Substitution. Real-Life: Green. Graphs: None. Symbols: Cake. Coherent: Planning.
Additional: Service peculiar. Merits equity. Rational debates.
60+ Questions & Answers - NCERT Based (Class 11)
Part A (1 mark short), B (4 marks medium), C (8 marks long). Based on NCERT, exercises.
Part A: 1 Mark Questions
1. What economic system appealed to Nehru?
1 Mark Answer: Socialism.
2. When was Planning Commission set up?
1 Mark Answer: 1950.
3. Name one goal of five year plans.
1 Mark Answer: Growth.
4. What is GDP?
1 Mark Answer: Goods/services value.
5. Give modernisation example.
1 Mark Answer: HYV seeds.
6. What is self-reliance?
1 Mark Answer: Avoid imports.
7. What is equity?
1 Mark Answer: Benefits poor.
8. Name land reform policy.
1 Mark Answer: Land ceiling.
9. Who is architect of planning?
1 Mark Answer: Mahalanobis.
10. When was second plan?
1 Mark Answer: Landmark.
11. Service sector share 1990?
1 Mark Answer: 40.59%.
12. What is HYV?
1 Mark Answer: High yielding variety.
13. What is IPR 1948?
1 Mark Answer: Industrial policy.
14. Give import substitution example.
1 Mark Answer: Produce domestically.
15. What is perspective plan?
1 Mark Answer: 20-year.
16. Capitalism basis?
1 Mark Answer: Market forces.
17. Socialism distribution?
1 Mark Answer: Needs-based.
18. Mixed economy?
1 Mark Answer: Market/government.
19. Mahalanobis born?
1 Mark Answer: 1893.
20. Structural change peculiar?
1 Mark Answer: Service dominant.
Part B: 4 Marks Questions
1. Explain Nehru's economic vision.
4 Marks Answer: Socialism appeal but not Soviet; mixed with public/private, democracy. Welfare all.
2. Describe capitalism.
4 Marks Answer: Market supply/demand; purchasing power distribution. Poor left behind.
3. What is socialism?
4 Marks Answer: Government decides needs; state ownership. Free health example.
4. Explain mixed economy.
4 Marks Answer: Market provides well; government essential. India model.
5. What is a plan?
4 Marks Answer: Resource use goals; five-year/perspective. Conflicts balance.
6. Define growth goal.
4 Marks Answer: GDP increase; sectors contribution. Cake larger enjoy more.
7. Explain modernisation.
4 Marks Answer: New tech/social outlook. Women work place.
8. What is self-reliance?
4 Marks Answer: Avoid imports producible; sovereignty protect. Food dependence fear.
9. Define equity.
4 Marks Answer: Benefits poor; inequality reduce. Basic needs meet.
10. Who was Mahalanobis?
4 Marks Answer: Architect second plan; ISI/Sankhya founder. Invited critics.
11. Explain service sector peculiarity.
4 Marks Answer: >40% 1990 like developed; agriculture >50% initially.
12. What were land reforms?
4 Marks Answer: Abolish intermediaries; tillers owners. Incentives increase.
13. Explain land ceiling.
4 Marks Answer: Maximum size; concentration reduce. Equity promote.
14. What is Green Revolution?
4 Marks Answer: HYV seeds; output revolution. Self-sufficiency.
15. Explain ownership incentives.
4 Marks Answer: Tillers profit motivate; tenants lack. Soviet fruits example.
16. What was IPR 1948?
4 Marks Answer: Public commanding; private small-scale. Outlook socialist.
17. Explain import substitution.
4 Marks Answer: Produce imports; protection tariffs/quotas. Self-reliance.
18. Merits of regulated economy?
4 Marks Answer: Welfare/equity; public essential.
19. Limitations of regulated economy?
4 Marks Answer: Bureaucracy/slow growth; licenses corruption.
20. Explain goals conflicts.
4 Marks Answer: Tech vs employment; balance difficult.
Part C: 8 Marks Questions
1. Discuss post-independence economic system choice.
8 Marks Answer: Nehru socialism but mixed; public/private democracy. Avoid extremes capitalism/socialism. Welfare focus; Planning Commission 1950.
2. Compare economic systems.
8 Marks Answer: Capitalism market/purchasing; socialism government/needs; mixed both. India mixed; examples Cuba/China.
3. Explain five year plans nature.
8 Marks Answer: Resource use; general/specific goals; perspective 20-year. Conflicts balance; not detailed goods.
4. Discuss goals of plans.
8 Marks Answer: Growth GDP; modernisation tech/outlook; self-reliance imports avoid; equity poor benefits. Not equal; resources limited.
5. Analyze Mahalanobis contributions.
8 Marks Answer: Second plan ideas; ISI/Sankhya; invited economists/critics. Vital progress; statistics fame.
6. Examine service sector phenomenon.
8 Marks Answer: Peculiar >40% 1990 like developed; structural change unusual. Post-1991 accelerated.
7. Discuss agriculture policies 1950-1990.
8 Marks Answer: Reforms abolish intermediaries/ceiling; HYV Green Revolution. Incentives output; equity partial.
8. Analyze ownership and incentives.
8 Marks Answer: Tillers motivate profit; tenants lack. Soviet example carelessness; efficiency absence.
9. Examine industry policies.
8 Marks Answer: IPR 1948 public commanding; small-scale private. Protection tariffs/quotas; import substitution.
10. Discuss merits and limitations of regulated economy.
8 Marks Answer: Merits: Welfare/equity/self-reliance. Limitations: Bureaucracy/slow/inefficiency.
11. Analyze self-reliance policy impact.
8 Marks Answer: Avoid imports food/tech; sovereignty protect. Imports/exports changes observe.
12. Examine land reforms success.
8 Marks Answer: Tenants owners 200 lakh; incentives growth. Equity not full; zamindars contest.
13. Discuss Green Revolution effects.
8 Marks Answer: HYV output increase; self-sufficiency. But inequality some areas.
14. Analyze import substitution.
8 Marks Answer: Produce domestically; protection. Self-reliance promote; but efficiency lack.
15. Examine goals conflicts in plans.
8 Marks Answer: Tech modern vs employment; balance difficult. Planners ensure no contradict.
16. Discuss structural change in India.
8 Marks Answer: Agriculture decline; service > industry. Peculiar poor country.
17. Analyze Mahalanobis openness.
8 Marks Answer: Invited critics/Nobel; mark scholar. Approach reject today but vital.
18. Examine equity in agriculture.
8 Marks Answer: Reforms/ceiling; but partial. Concentration persist some.
19. Discuss post-1991 acceleration.
8 Marks Answer: Service growth; globalisation onset. Phenomenon peculiar.
20. Analyze regulated economy overall.
8 Marks Answer: Merits welfare; limitations regulation. Think merits/limitations.
Tip: Relate goals policies; systems compare; reforms examples; merits debate.
Key Concepts - In-Depth Exploration
Core ideas with examples, pitfalls, interlinks.
Mixed Economy
Hybrid systems. Deriv: India choice. Pitfall: Inefficiency. Ex: Public essential. Interlink: Goals.
Planning
Resource goals. Deriv: Five-year. Pitfall: Conflicts. Ex: Perspective. Interlink: Sectors.
Growth
GDP steady. Deriv: Sectors. Pitfall: Inequality. Ex: Cake. Interlink: Modernisation.
Self-Reliance
Imports avoid. Deriv: Sovereignty. Pitfall: Tech lag. Ex: Food. Interlink: Trade.
Equity
Poor benefits. Deriv: Reforms. Pitfall: Partial. Ex: Needs. Interlink: Agriculture.
Green Revolution
HYV output. Deriv: Self-sufficiency. Pitfall: Inequality. Ex: Seeds. Interlink: Modernisation.
Import Substitution
Domestic produce. Deriv: Protection. Pitfall: Inefficiency. Ex: Tariffs. Interlink: Industry.
Regulated Economy
Government control. Deriv: Merits/limitations. Pitfall: Bureaucracy. Ex: Licenses. Interlink: All.
Advanced: Mahalanobis model. Pitfalls: Conflicts. Interlinks: Liberalisation. Real: Green. Depth: Goals. Examples: Daily. Graphs: None. Errors: Full equity. Tips: Compare systems; debate merits.
Extended: Rational skills. Pitfalls: Biases. Common: Planning. Principles: Balanced. Advanced: Substitution. Coherent: Contexts.
Introduction - Detailed Guide
Independence, system choice, mixed (sim 4+ pages equiv).
Independence
1947 dawn. Deriv: Nation building. Ex: Destiny masters. Depth: 200 years British.
System Choice
Socialism appeal. Deriv: Not Soviet. Ex: Private property. Depth: Democracy.
Mixed
Best features. Deriv: Public strong. Ex: Plan private. Depth: IPR 1948.
Tip: Nehru explain. Depth: Welfare. Examples: Farm activity. Graphs: None. Advanced: First plan.
Principles: Sympathy socialist. Errors: Definitions. Real: Regulated.
Extended: Systems chart. Numerical: None.
Types of Economic Systems - Detailed Guide
Three questions, capitalism, socialism, mixed (sim 4+ pages equiv).
Questions
What/how/whom. Deriv: Society answer. Ex: Produce/distribute. Depth: Fundamental.
Capitalism
Market/profit. Deriv: Purchasing. Ex: Cars demand. Depth: Poor no.
Socialism
Government/needs. Deriv: State own. Ex: Free health. Depth: Desires ignore.
Mixed
Both. Deriv: Essential government. Ex: India. Depth: Provide well.
Tip: Compare pros/cons. Depth: Examples. Graphs: None. Advanced: Principles.
Principles: Distribution. Errors: Pure India? No. Real: Hybrid.
Extended: Countries list. Numerical: None.
Goals of Five Year Plans - Detailed Guide
Growth, modernisation, self-reliance, equity (sim 4+ pages equiv).
Growth
GDP increase. Deriv: Capacity. Ex: Sectors. Depth: Indicator.
Modernisation
Tech/outlook. Deriv: Output. Ex: Seeds/women. Depth: Adopt new.
Self-Reliance
Imports avoid. Deriv: Sovereignty. Ex: Food. Depth: Dependence.
Equity
Poor benefits. Deriv: Needs. Ex: Education. Depth: Inequality.
Tip: Examples give. Depth: Conflicts. Graphs: None. Advanced: Service.
Principles: Balanced. Errors: Equal? No. Real: Partial.
Extended: Imports list. Numerical: 40.59%.
Agriculture - Detailed Guide
Reforms, Green, incentives (sim 4+ pages equiv).
Reforms
Ownership change. Deriv: Equity. Ex: Abolish zamindars. Depth: Tenants free.
Ceiling
Max size. Deriv: Concentration. Ex: Few hands. Depth: Promote equity.
Green Revolution
HYV. Deriv: Output. Ex: U.S. imports avoid. Depth: Revolution.
Incentives
Ownership motivate. Deriv: Profit. Ex: Soviet fruits. Depth: Efficiency.
Tip: Success appraise. Depth: Partial equity. Graphs: None. Advanced: 200 lakh.
Principles: Tiller. Errors: Full? No. Real: Growth.
Extended: Colonial no. Numerical: None.
Industry - Detailed Guide
IPR, small-scale, protection (sim 4+ pages equiv).
IPR 1948
Public heights. Deriv: Outlook. Ex: Directive. Depth: Reflected.
Small-Scale
Private encouraged. Deriv: Employment. Ex: Protection. Depth: Large public.
Protection
Tariffs/quotas. Deriv: Substitution. Ex: Domestic. Depth: Self-reliance.
Tip: Policies merits. Depth: Regulation. Graphs: None. Advanced: Licenses.
Principles: Commanding. Errors: Efficient? Slow. Real: Moderate.
Extended: Trade. Numerical: None.
Trade and Self-Reliance - Detailed Guide
Substitution, imports avoid (sim 4+ pages equiv).
Substitution
Produce imports. Deriv: Reliance. Ex: Tariffs. Depth: Protection.
Imports/Exports
Changes observe. Deriv: Impact. Ex: 1990-2019. Depth: Self-reliance.
Policy
Avoid dependence. Deriv: Sovereignty. Ex: Food/tech. Depth: Vulnerable.
Tip: Impact discuss. Depth: Partial. Graphs: None. Advanced: Post-1991.
Principles: Avoid. Errors: Full? No. Real: Progress.
Extended: Activities. Numerical: None.
Interactive Quiz - Master Indian Economy 1950-1990
20 MCQs; 85%+ goal. Plans, goals, sectors, policies.
Start Quiz
Quick Revision Notes & Mnemonics
Introduction
Independence; mixed socialism; planning 1950.
Systems
Capitalism market; socialism government; mixed both.
Plan
Five-year/perspective; goals balance.
Goals
Growth GDP; modernisation tech; self-reliance imports; equity poor.
Mahalanobis
Architect second; ISI/Sankhya.
Agriculture
Reforms ceiling; Green HYV; incentives ownership.
Industry/Trade
IPR public; substitution protection.
Mnemonics: Goals "Growth Modernisation Self-Reliance Equity" (GMSE). Systems "Capitalism Socialism Mixed" (CSM). Reforms "Abolish Ceiling Green" (ACG). Policies "IPR Substitution Protection" (ISP).
Tip: Goals explain; policies analyze; merits discuss; comparisons systems.
