CLASS-1
THREE CHALLENGES AFTER INDEPENDENCE
- Challenges of Nation building (Chapter 1st)
- Challenges of instituting democratic politics. (Chapter 2nd )
- Challenges of economic development with equality and justice. (Chapter 3rd)
CHAPTER 3: POLITICS OF PLANNED DEVELOPMENT
Study – Story of political choices involved in some of the key questions of economic development.
- What were the key choices and debates about development?
- Which strategy was adopted by our leaders in the first two decades? And why?
- What were the main achievements and limitations of this strategy?
- Why was this development strategy abandoned in later years?
- Dilemma for development among GOVT., Local people and environmentalists:
Orissa had largest reserves of untapped iron ore in the country so when steel demand increased Orissa Govt. MoU with international (POSCO-India steel plant in Jagatsinghpur district ) and domestic steel makers.
- Tribal population fear: Setting up of industries would mean displacement from their home and livelihood.
- Environmentalists fear: Mining and industry would pollute the environment.
central government feel:
- if the industry is not allowed it would set a bad example and discourage investments in the country.
Identify the various interests involved in this case?
What are their key points of conflict?
Do you think there are any common points on which everyone can agree?
Can this issue be resolved in a way which satisfies all the various interests?
As you ask these questions, you would find yourself facing yet bigger questions.
What kind of development does Orissa need? Indeed, whose need can be called Orissa’s need?
- Such decisions in Democracy- Final decision by representatives after approvement by people and taking advice from experts on mining, from environmentalists and from economists.
Cann’t be answered by an expert only because Decisions of this kind involve weighing the interests of one social group against another, present generation against future generations.
That’s why, after independence India had to take a series of decisions with focus another decisions for shared vision or model of economic development.
Almost everyone agreed for growth (economic) and justice (social & economic) through Govt. not by private.
But Disagree on kind of role: Through centralised institution ? government itself run some key industries and business?
Despite the difference to follow model maximum people were agree :
- Development should not be left to private actors
- need for the government to develop a design or plan for development
IDEA OF PLANNING:
- Period of 1940s-50: In world, the idea of planning as a process of rebuilding economy earned a good deal of public support.
- Generally Industrialist, businessperson wants open economy so averse to ideas of planning.
- Leftists, Rightist, Industrialists (Bombay Plan) were in favor of planning for development.
- But In India, Bombay plan (1944) prepared by industrialists & drafted a joint proposal for setting up a planned economy.
- Bombay Plan wanted the state to take major initiatives in industrial and other economic investments
- JRD TATA, Ghan Shyam Das Birla, Jon Mathai.
- After Independence:
- Planning commission (Idea from ?, What, Why, Structure, Existence)
- As USSR, PCI opted 5 years plan (FYP)
- set up in March, 1950 by a simple resolution of the Government.
- has an advisory role & its recommendations become effective only when the Union Cabinet approved.
- Established because provisions of FR, DPSP in constitution.