(1) Primary production
(2) Population Pressures
(3) Underemployment
(4) Economic backwardness
(5) Capital deficiency
(6) Foreign trade orientation

(i) Development means, people must have higher incomes, better education, better health care and nutrition, less poverty and more equality of opportunity.
(ii) According to Michael P. Todaro and Stephen C. Smith, "development must beconceived of as multidimensional process involving major changes in social structure, popular attitudes and national institutions, as well as the acceleration of economic growth, the reductions of inequality and the eradications of poverty".

According to Ragnar Nurkse, low capital formation is one of the basic causes of poverty in UDCs. Low capital formation leads to low productivity. Low productivity results in low income and low income result in low savings and low saving leads to low capital formation. Thus, it forms a vicious circle of poverty.

(i) The Second Five Year Plan (1951- 56) aimed at rapid industrialization with particular emphasis on the development of basic and heavy industries.
(ii) It was during the second plan period, the Goverriment embraced the goal of democratic socialism

(i) The National planning commission was set up in India in 1950.
(ii) A major function of the planning commission was to formulate a plan for the most effective and balanced utilization of the country's resources".
(iii) The planning commission formulated the First Five Year Plan for the period 1951 - 56.

The main objectives of planning in India may be grouped under four heads, they are
(i) Growth
(ii) Modernization
(iii) Self - reliance and
(iv) Social justice

NIT! Aayog (National Institution for transforming India) was formed on 1st January, 2015 through a Union Cabinet resolution. NITI Aayog is a policy think-tank of the Government of India. It replaced the Planning Commission from 13th August, 2014. The Prime Minister. is the Chairperson of NITIAayog and Union Ministers will be Ex-officio members. The Vice-Chairman of the NITI Aayog is the functional head.
Functions of NITI Aayog
1. Cooperative and Competitive Federalism
2. Shared National Agenda
3. Decentralized Planning
4. Vision and Scenario Planning
5. Network of Expertise
6. Harmonization:
7. Conflict Resolution
8. Coordinating Interface with the World
9. Internal Consultancy
10. Capacity Building
11. Monitoring and Evaluation

(i) The absence of freedom in decision making, may act as an obstacle for economic growth.
(ii) Regulations and restrictions are the backbone of a planned economy.
(iii) The consumers, producers and the workers enjoy no freedom of choice.
(iv) Therefore Hayek explains in his book Road to Serfdom that centralized planning leads to loss of personal freedom and ends in economic stagnation.

(i) The WorlthBank in its World Development Report classified various countries on the basis of Gross National Income (GNI) per capita.
(ii) Various countries on the basis of Gross National Income (GNI) per capita.

Types of planning:
1. Democratic
2. Totalitarian
3. Planning by Direction
4. Inducement
5. Short, Medium and Long term
6. Functional
7. Structural
8. Centralized
9. Decentralized
10. Indicative
11. Imperative
12. Financial
13. Physical
14. Comprehensive
15. Partial

Characteristics of under developed couriers are,
(i) Predominance of primary sector(ie) agriculture.
(ii) Low per capital income
(iii) Widespread poverty
(iv) Wide inequality in distribution of income and wealth.
(v) Over Population.
(vii) Low rate of capital formation.
(viii) High rate of unemployment.
(ix) Technological backwardness
(x) Dualism

Explain about traditional approach.
(i) The Traditional approach defines development strictly in economic terms.
(ii) The increase in GNP is accompanied by decline in share of agriculture in output and employment while those of manufacturing and service sectors increase.
(iii) It emphasizes the importance of industrialization.
(iv) It was assumed that growth in GNP per capital would trickle down to people at the bottom.