Planning Commission and NITI Aayog roles. - Question Bank

1. NITI Aayog's emphasis on evidence-based policy making means it relies on:
A) Intuition and tradition.
B) Empirical data and research.
C) Political expediency.
D) Historical precedents only.
2. The Planning Commission's approach to planning was often described as:
A) Decentralized and market-driven.
B) Centralized and directive.
C) Laissez-faire.
D) Anarchic.
3. Which of the following best describes the relationship between NITI Aayog and the Ministry of Finance regarding policy?
A) NITI Aayog dictates financial policy.
B) NITI Aayog provides policy recommendations, while the Ministry of Finance handles fiscal matters and fund allocation.
C) The Ministry of Finance has no role in policy.
D) They operate entirely independently with no overlap.
4. The Planning Commission was criticized for its perceived lack of accountability to the Parliament. NITI Aayog aims to improve accountability through:
A) Reduced transparency.
B) Direct parliamentary oversight of all its actions.
C) Its nature as a think tank providing recommendations.
D) Abolishing all public reporting.
5. NITI Aayog's mandate includes promoting a 'whole-of-government' approach. This signifies:
A) Siloed functioning of ministries.
B) Integrated policy-making and implementation across different government departments.
C) Exclusive focus on the Prime Minister's Office.
D) Reduced inter-ministerial coordination.
6. The Chief Ministers of states were part of the National Development Council (NDC). What was their role in relation to the Planning Commission?
A) To bypass the Planning Commission's decisions.
B) To provide input and approve the Five-Year Plans.
C) To oversee the Planning Commission's budget.
D) To challenge the Planning Commission's authority.
7. What was the institutional arrangement for planning in India before the establishment of the Planning Commission?
A) No formal planning mechanism existed.
B) The Reserve Bank of India managed planning.
C) The Ministry of Finance solely handled it.
D) A separate Ministry of Planning was active.
8. NITI Aayog's focus on 'competitive federalism' encourages:
A) States to work in isolation.
B) States to compete with each other for better governance and outcomes.
C) The central government to dominate state policies.
D) Reduced state participation in national development.
9. The Planning Commission's recommendations were often presented to which body for final approval?
A) Parliament
B) Supreme Court
C) National Development Council
D) President of India
10. Which of the following is NOT a stated objective of NITI Aayog?
A) To foster cooperative federalism.
B) To develop strategic and long-term policy and programme frameworks.
C) To allocate funds to states for development projects.
D) To monitor and evaluate the implementation of policies and programmes.
11. The Planning Commission's policy of import substitution aimed to:
A) Increase reliance on foreign goods.
B) Promote domestic production by discouraging imports.
C) Encourage free trade.
D) Reduce tariffs on all goods.
12. NITI Aayog acts as a knowledge and innovation hub. This means it is expected to:
A) Implement all government projects.
B) Conduct research and provide evidence-based policy advice.
C) Approve all infrastructure projects.
D) Regulate foreign investment.
13. What was the primary aim of the Five-Year Plans during the era of the Planning Commission?
A) To maximize short-term profits.
B) To achieve rapid economic growth and social transformation.
C) To focus solely on export promotion.
D) To reduce the role of the government in the economy.
14. The dissolution of the Planning Commission and the establishment of NITI Aayog can be seen as a move towards:
A) Strengthening centralized control.
B) Decentralizing policy formulation and promoting federalism.
C) Increasing bureaucratic red tape.
D) Adopting a closed economy model.
15. The concept of 'indicative planning' is more associated with NITI Aayog's approach compared to the Planning Commission's 'imperative planning'. What does indicative planning entail?
A) Direct state control over all economic activities.
B) Guiding and influencing the market without direct control.
C) Complete deregulation of all sectors.
D) Abolishing all private enterprises.
16. NITI Aayog's publications, such as India's development indices, serve the purpose of:
A) Direct fund allocation.
B) Performance monitoring and evaluation.
C) Judicial review.
D) Legislative enactment.
17. The Planning Commission's annual plans were often criticized for:
A) Being too flexible.
B) Creating bottlenecks in resource allocation.
C) Encouraging private sector growth.
D) Reducing government expenditure.
18. Who appoints the Vice Chairman and full-time members of NITI Aayog?
A) The President of India
B) The Chief Justice of India
C) The Prime Minister of India
D) The Parliament of India
19. The National Development Council (NDC) was an important body under the Planning Commission. What was its role?
A) To approve the final five-year plans.
B) To advise on international trade.
C) To regulate stock markets.
D) To manage foreign currency reserves.
20. NITI Aayog's agenda includes promoting sustainable development goals (SDGs). This is a shift towards:
A) Purely economic growth targets.
B) Integrating environmental and social objectives with economic growth.
C) Focusing only on industrial development.
D) Prioritizing military spending.
21. What was the 'commanding heights' doctrine associated with the Planning Commission's approach?
A) Giving the private sector dominance.
B) Prioritizing private sector investment.
C) State control over key sectors of the economy.
D) Free market principles.
22. NITI Aayog's role as a facilitator aims to:
A) Directly control industries.
B) Promote collaboration between different stakeholders.
C) Nationalize key sectors.
D) Impose strict price controls.
23. The Planning Commission's structure included a Deputy Chairman and full-time members. What was their primary function?
A) To approve international loans
B) To oversee the implementation of five-year plans
C) To conduct election campaigns
D) To manage defense procurement
24. The shift from Planning Commission to NITI Aayog reflects a broader policy change towards:
A) Increased state control over the economy
B) A more market-driven and competitive economy
C) Autarky and self-sufficiency
D) Reduced role of the private sector
25. What is the significance of the 'Governing Council' of NITI Aayog?
A) It comprises only central government ministers.
B) It includes Chief Ministers of states and Lieutenant Governors of Union Territories.
C) It is an advisory body with no decision-making power.
D) It is responsible for international trade negotiations.
26. The Planning Commission was established based on the recommendations of which body?
A) First Five Year Plan Working Group
B) Advisory Planning Board
C) National Planning Committee
D) Economic Reforms Committee
27. NITI Aayog's focus on 'bottom-up' planning implies:
A) Policies are solely designed by the central government.
B) Local and grassroots-level inputs are crucial for policy formulation.
C) Economic planning begins from the highest administrative levels.
D) Urban centers dictate rural development.
28. The Planning Commission's role in resource allocation meant it had significant influence over:
A) Judicial appointments
B) State budgets and development priorities
C) Foreign policy decisions
D) Election commissions
29. Who is the full-time operational head of NITI Aayog?
A) Prime Minister
B) Vice Chairman
C) Chief Executive Officer
D) Finance Minister
30. The Planning Commission's approach was often criticized for being too rigid and not adapting to changing economic conditions. NITI Aayog aims to address this by:
A) Implementing longer-term plans.
B) Focusing on a more flexible and dynamic policy environment.
C) Increasing the number of five-year plans.
D) Centralizing all decision-making.
31. One of the objectives of NITI Aayog is to foster innovation and entrepreneurship. This aligns with which economic principle?
A) Import substitution
B) Socialist planning
C) Market liberalization
D) Protectionism
32. NITI Aayog has established different types of councils to foster cooperative federalism. Which of the following is one such council?
A) Supreme Audit Council
B) Inter-State Council
C) National Development Council
D) National Integration Council
33. What was the term of the Five-Year Plans formulated by the Planning Commission?
A) One year
B) Three years
C) Five years
D) Ten years
34. The Planning Commission was abolished by a resolution of the Union Cabinet. This highlights its nature as:
A) A constitutional body
B) A statutory body
C) An executive body
D) An independent judiciary
35. Which of the following is a key initiative or framework associated with NITI Aayog's approach?
A) Command Economy Model
B) Five-Year Plans
C) Strategy for New India @ 75
D) Centralized Planning System
36. Unlike the Planning Commission, NITI Aayog does not have the power to allocate funds. What is the implication of this?
A) NITI Aayog has no influence on policy.
B) Fund allocation is now primarily the responsibility of the Ministry of Finance.
C) States are entirely independent in their financial decisions.
D) Foreign aid is the sole source of funding.
37. What is the role of the Vice-Chairman of NITI Aayog?
A) To assist the President of India.
B) To be a full-time executive head of the organization.
C) To represent India in international economic forums.
D) To audit government spending.
38. NITI Aayog emphasizes 'Cooperative Federalism'. What does this mean in practice?
A) The Central government dictates all policies.
B) States and the Central government work together in policy formulation and implementation.
C) States compete against each other for resources.
D) International organizations control domestic policy.
39. NITI Aayog functions as a think tank. What is its primary role as a think tank?
A) To approve annual budgets.
B) To provide policy recommendations and strategic direction.
C) To directly implement government schemes.
D) To manage foreign exchange reserves.
40. Who is the ex-officio Chairman of NITI Aayog?
A) The President of India
B) The Prime Minister of India
C) The Finance Minister of India
D) The Governor of the Reserve Bank of India
41. What is the core philosophy behind NITI Aayog?
A) Top-down planning and command economy.
B) Bottom-up approach, cooperative federalism, and market-oriented reforms.
C) Exclusive focus on agricultural development.
D) Isolationist economic policies.
42. What does NITI Aayog stand for?
A) National Institute for Transforming India
B) National Initiative for Technological Innovation
C) New Ideas for Indian Advancement
D) National Investment and Trade Initiative
43. Which organization replaced the Planning Commission in 2015?
A) NITI Aayog
B) Economic Advisory Council
C) National Development Council
D) National Planning Board
44. What was the main criticism leveled against the Planning Commission?
A) It was too decentralized.
B) It promoted excessive state intervention and lacked flexibility.
C) It did not have enough powers to implement plans.
D) It focused too much on market-based reforms.
45. The Planning Commission was an extra-constitutional body. What does this imply?
A) It was established by an Act of Parliament.
B) It was established by a Presidential Order.
C) It was established by an executive resolution of the Government of India.
D) Its recommendations were legally binding.
46. Who was the first Chairman of the Planning Commission?
A) Sardar Vallabhbhai Patel
B) Jawaharlal Nehru
C) C. Rajagopalachari
D) Dr. Rajendra Prasad
47. What was the primary role of the Planning Commission?
A) To advise the President on financial matters
B) To formulate five-year plans for economic development
C) To regulate monetary policy
D) To oversee international trade agreements
48. In which year was the Planning Commission established in India?
A) 1947
B) 1950
C) 1951
D) 1956
49. Which constitutional body was originally responsible for planning in India?
A) NITI Aayog
B) Planning Commission
C) Finance Commission
D) Reserve Bank of India
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