Economics · Economic Planning
What was the core underlying argument of the Mahalanobis strategy implemented in India's Second Five-Year Plan?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Short-term consumption goods are the sole determinants of long-term economic growth
- 2Capital stock expansion is limited purely by the supply of raw labor
- 3Agricultural output is completely independent of heavy industrial growth
- 4Prioritizing investment in heavy capital goods raises future productive capacity more than consumer goods✓
Correct answer
Prioritizing investment in heavy capital goods raises future productive capacity more than consumer goods
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