Question

Which of the following is not a characteristic of the Indian economy?

• A. Primacy of agriculture
• B. Balance between heavy industry and wage goods
• C. Population pressure
• D. Low per capita income

Hint:

Think about the actual relationship between heavy industry investment and consumer goods production in India's planning history.

Answer 1

The Correct Option is B

Concept:
The Indian economy has a set of well documented structural features shaped by its history and stage of development, including heavy reliance on agriculture, high population pressure, and low per capita income.

Explanation:
Primacy of agriculture is a genuine feature, since a large share of the workforce still depends on farming even though its share in GDP has fallen over time. Population pressure is also a real characteristic, with a large and still growing population straining resources and per capita availability. Low per capita income is likewise a well known characteristic, since India's average income remains well below that of developed economies. However, "balance between heavy industry and wage goods" is not something the Indian economy has historically shown, instead, planners have long pointed out an imbalance, where investment tilted toward heavy industry in the early plan years left the wage goods sector, meaning cheap consumer goods for the masses, underdeveloped.

Final Answer:
The lack of balance between heavy industry and wage goods means option B describes something that is not a characteristic of the Indian economy, so it is the correct answer.