Q. India’s economic policies evolved with time. In this context, which of the following pairs is/are correctly matched?
|1. Industrial Policy Resolution, 1956||Private sector is barred from managing industries|
|2. Industrial Policy Statement, 1980||Abolished the Monopolies Restrictive Trade Practices Act|
|3. New Industrial Policy, 1991||Declared Indian economy as mixed Economy|
Pair 1 is incorrectly matched: The Industrial Policy Resolution of 1956 was adopted with the goal of the State controlling the commanding heights of the economy.
It formed the basis for the Second Five Year Plan (1956-61). It classified industries into 3 groups.
Hence, the private sector is not barred from the management of industries.
Pair 2 is incorrectly matched: The Monopolies Restrictive Trade Practices (MRTP) Act was enacted in 1970 for the prohibition of monopolistic and restrictive and unfair trade practices.
It was abolished after the introduction of the New Industrial Policy of 1991 and replaced with the Competition Act, 2002.
Pair 3 is incorrectly matched: It was the Industrial Policy Resolution of 1948 to declare that India is going to have a mixed economy in which coexistence of public and private sectors will be present.
Whereas the New Industrial Policy of 1991 introduced the principles of Liberalization by reduction of government control, Privatization by increasing the role and scope of the private sector and Globalisation by integration of the Indian economy with the world economy.