The principal component(s) of the Nehru-Mahalanobis strategy of economic development was/were 1) Restructuring economic dependency on metropolitan capitalism into independent economic development. 2) Transition from semi-feudal agriculture to capitalist farming. Select the correct answer using the code given below:

The Nehru-Mahalanobis strategy, adopted during the Second Five-Year Plan, focused on restructuring India's economic dependency on metropolitan capitalism into independent development through state-led industrialization [1]. By prioritizing the capital goods sector and heavy industries like steel and machine-building, the model aimed for self-reliance and import substitution to overcome capital constraints [1][2]. This strategy sought to break the colonial-era reliance on foreign manufactured goods. However, statement 2 is incorrect because the strategy was criticized for its 'urban bias' and for prioritizing industry over agriculture [3]. While land reforms were discussed in the broader planning era, the Mahalanobis model specifically emphasized a shift from consumer goods to heavy industry rather than a transition to capitalist farming; in fact, much of the agricultural sector remained in private, traditional hands rather than undergoing a state-led transition to capitalist farming [2][3].

Sources

1. [1] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 6: Economic Planning in India > Nehru–Mahalanobis Model (adopted in the 2nd FYP) > p. 135
2. [2] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 6: Indian Economy [1947 – 2014] > 2nd Five Year Plan (1956 - 61) > p. 207
3. [3] Rajiv Ahir. A Brief History of Modern India (2019 ed.). SPECTRUM. > Chapter 38: Developments under Nehru’s Leadership (1947-64) > Concept of Planning for Economic Development > p. 645