India has implemented different types of economic planning since its independence in 1947. The main objective of economic planning in India is to achieve balanced and rapid economic growth, reduce poverty and unemployment, and improve the standard of living of the people. Here are the different types of economic planning that have been implemented in India:
- Centralized Planning: Centralized planning involves the government setting the goals and targets for the entire economy and implementing policies to achieve those goals. The first Five-Year Plan (1951-1956) was an example of centralized planning. In this type of planning, the government controls the allocation of resources and sets prices for goods and services. The government also determines the priority sectors for investment and decides on the level of public investment in various sectors.
- Decentralized Planning: Decentralized planning involves the active participation of local communities, organizations, and individuals in the planning process. The objective is to ensure that local needs and priorities are incorporated into the planning process. This type of planning was introduced in the 8th Five-Year Plan (1992-1997) and is known as District Planning. In this type of planning, local authorities are responsible for planning and implementing development projects.
- Perspective Planning: Perspective planning involves setting long-term goals and targets for the economy. The objective of perspective planning is to provide a framework for short-term planning and ensure that development efforts are sustained over time. Perspective planning was introduced in the 6th Five-Year Plan (1980-1985) and has been a part of all subsequent plans.
- Structural Planning: Structural planning focuses on structural reforms aimed at improving the efficiency and competitiveness of the economy. The objective is to address structural issues that may hinder economic growth. Structural planning was introduced in the 7th Five-Year Plan (1985-1990) and has been a part of subsequent plans.
In conclusion, India has implemented various types of economic planning since its independence, with the objective of achieving rapid and balanced economic growth, reducing poverty and unemployment, and improving the standard of living of its citizens. The success of economic planning in India depends on effective implementation and mobilization of financial resources.