In which Five-Year Plan, was the Mahalanobis Model started?

Question

Question

This question was previously asked in

SSC CGL 2022 Tier-I Official Paper (Held On : 08 Dec 2022 Shift 2)

Answer 1

The correct answer is Second

Key Points

Mahalanobis Model
- Marxist economists Grigory Feldman from the Soviet Union and Prasanta Chandra Mahalanobis from India separately developed the Feldman-Mahalanobis model in 1953.
- Mahalanobis ended up serving as the Second Five Year Plan's primary economist and was the focus of many of the country's most contentious economic discussions.
- The core of the strategy is a change in industrial investment patterns towards the development of a domestic consumption goods sector.

Additional Information

Long-term expansion of the nation's consumer goods production capacity depends on the capital goods sector having a high adequate capacity.
The division between the two different categories of goods helped consumers better comprehend the trade-off between levels of immediate and future consumption and provided a clearer explanation of Marx's theories in Das Kapital.
Feldman, an economist for the GOSPLAN planning committee at the time, first proposed these concepts in 1928, outlining the theoretical justifications for a two-department growth strategy.