Question : Plan revenue expenditure relates to _______.
I. Five-year plans
II. Salaries and pensions
Option 1: Only I
Option 2: Neither I nor II
Option 3: Both I and II
Option 4: Only II
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Correct Answer: Only I
Solution : The correct answer is Only I.
Every year, the Indian government compiles a report detailing all of its revenue and expenses. In India, the first five-year plan established the foundation for economic growth.
Jawaharlal Nehru, the country's first prime minister, delivered the first five-year plan to the Indian Parliament. The first five-year plan was based on the Harrod Domar Model. A body called the Planning Commission created, carried out and oversaw the five-year plans.
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