Public Sector Evaluation Debate
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Question (English)
The key debate about public sector enterprises focused on:
- Whether to increase their number further
- Whether they should be evaluated on profits or welfare contribution ✓ Correct
- Whether to merge all of them into one
- Whether to shift them to rural areas
Explanation:
Correct Answer Explanation
The debate was whether public sector firms should be evaluated on profits or their contribution to welfare.
Key Points:
- Some argued they are not meant for profits but to promote welfare.
- Others pointed to huge losses that drained limited resources.
- This debate contributed to the 1991 economic reforms.
📚 About this Topic — CH-2: INDIAN ECONOMY 1950–1990
This multiple choice question is from CH-2: INDIAN ECONOMY 1950–1990, Indian Economic Development, NCERT Books. It has 4 options with a detailed explanation of the correct answer. Practice more MCQs from CH-2: INDIAN ECONOMY 1950–1990 to strengthen your preparation.
