why does Indian planning place more emphasis on industrial development
Lakshay,
Indian planning places more emphasis on industrial development. This is because industrial sector plays a crucial role in the growth and development of any country. It is said that a nation can develop only with the development of industries. The following points highlight the role of industrial sector in the development of an economy.
1. Employment: Industrial sector is an important source of employment for the masses. In an underdeveloped country, where a large section of the population is dependent on the agriculture sector the industrial sector proves to be an important alternative source of occupation. Industrial sector can absorb the surplus labour from the agricultural sector. This not only eases the burden on the agricultural sector but also leads to overall welfare of the masses by increasing the employment and income earning opportunities.
2. Structural changes: Development of industries brings about a diversification in the production and consumption activities. Industrialisation brings about a shift from the production and consumption of wage goods (such as basic cereals, coarse cloth,) to the processed goods (such as fine varieties of cloth, processed food products). Such a transformation boosts economic growth and the standard of living in the country rises.
3. Backward and forward linkages: Industrialisation leads to important forward and backward linkages in the economy. That is the development of industries boosts the development of other sectors in the economy. For example, industries provide the agriculture sector with the new and modern machines such as the tractors, harvesters, water pumps, etc. In other words, industrialisation helps in the mechanisation agriculture sector. This improves the productivity and production of the agriculture. Similarly, development of industries encourages the development of infrastructure facilities. It is only with the development of industries that the need for infrastructure such as transportation, communication, banking, health, education, etc, is greatly felt. Thus, industrial sector paves the way for the development of infrastructure.
4. Urbanisation: Industrialisation paces up the process of urbanisation. Greater shift takes place from the rural areas to the urban areas. With the development of industries, the level of income rises. Thereby, the quality of life of the people rises. It leads to a rise in the level of education, skill and health of the people. As a result, the standard of living rises.
We would advice you to not to keep on piling your questions, rather, you should keep posting 1 to 2 questions per subject (Accountancy, Economics and Business Studies) on everyday basis. Ideally, you should go through the study material that is available on our website and look for the answers to the questions. This will not only help you to enhance your analytical abilities but also will help you to learn the application of your knowledge. In this manner, you will gain confidence and will help you in evaluating your preparation.
Indian planning places more emphasis on industrial development. This is because industrial sector plays a crucial role in the growth and development of any country. It is said that a nation can develop only with the development of industries. The following points highlight the role of industrial sector in the development of an economy.
1. Employment: Industrial sector is an important source of employment for the masses. In an underdeveloped country, where a large section of the population is dependent on the agriculture sector the industrial sector proves to be an important alternative source of occupation. Industrial sector can absorb the surplus labour from the agricultural sector. This not only eases the burden on the agricultural sector but also leads to overall welfare of the masses by increasing the employment and income earning opportunities.
2. Structural changes: Development of industries brings about a diversification in the production and consumption activities. Industrialisation brings about a shift from the production and consumption of wage goods (such as basic cereals, coarse cloth,) to the processed goods (such as fine varieties of cloth, processed food products). Such a transformation boosts economic growth and the standard of living in the country rises.
3. Backward and forward linkages: Industrialisation leads to important forward and backward linkages in the economy. That is the development of industries boosts the development of other sectors in the economy. For example, industries provide the agriculture sector with the new and modern machines such as the tractors, harvesters, water pumps, etc. In other words, industrialisation helps in the mechanisation agriculture sector. This improves the productivity and production of the agriculture. Similarly, development of industries encourages the development of infrastructure facilities. It is only with the development of industries that the need for infrastructure such as transportation, communication, banking, health, education, etc, is greatly felt. Thus, industrial sector paves the way for the development of infrastructure.
4. Urbanisation: Industrialisation paces up the process of urbanisation. Greater shift takes place from the rural areas to the urban areas. With the development of industries, the level of income rises. Thereby, the quality of life of the people rises. It leads to a rise in the level of education, skill and health of the people. As a result, the standard of living rises.
We would advice you to not to keep on piling your questions, rather, you should keep posting 1 to 2 questions per subject (Accountancy, Economics and Business Studies) on everyday basis. Ideally, you should go through the study material that is available on our website and look for the answers to the questions. This will not only help you to enhance your analytical abilities but also will help you to learn the application of your knowledge. In this manner, you will gain confidence and will help you in evaluating your preparation.