Economic Problem of Pakintan

Q No 1. What is the importance of industrial sector in economic development of

Pakistan or Justify the industrial development in Pakistan?

1) Increase in employment
2) Increase in GNP
3) Increase in standard of living
4) Increase in social welfare
5) Increase in Govt revenue
6) Increase in investment
7) Development of other sectors
8) Improvement in balance of payment
9) Increase in specialization
10) Importance for defense
11) Expansion of market
12) Development of agriculture sector
13) Proper use of raw material
14) Increase in foreign exchange reserves
15) Proper utilization of natural resources
16) Economic stability.

Q No 2. What do you understand by the term land reform? Discuss land reforms
introduced in 1959 to 1977.

 Features of land reform 1959

1. Owner ship limit
In Pakistan nobody will have possession of 500 acre irrigated land and 1000 acre
unirrgated land.
2. Jagirs
All the Jagirs were abolished what so ever any kind.
3. Protection to tenants
4. Impartiabilty of land
5. Property rights
 Features of land reforms in 1972
1) Reduction in ownership limit
People were allowed 150 acre irrigated land and 300 un irrigated land
2) Free distribution of land
3) Shikargah
4) Restriction on division of land
5) Restriction on tenants …………
6) Live stock form
7) Revenue ownership
8) Further reduction in land
100 acre irrigated land and 200 unirrgated land
9) Dignity and security of tenants
Role of land reforms in Development
1. Tenant’s right of ownership
2. Reduction in size of ownership
3. Improvement in agriculture sector
4. Elimination of big land lards authority
5. Restriction in further division of land
6. Relief of tax burden
7. Increase in middle groups income
8. Change in politics
9. Increase in aggregate demand.

Q no 3. Discuss the backwardness of industrial sector in Pakistan

1. Less efficient performance of inherit age units

2. Lack of technical skilled person
3. Political instability
4. Lack of capital
5. Lack of basic minerals
6. Lack of resources
7. Lack of foreign reserves
Q no 4. Explain the obstacles in the way of implementation in the land reform in the
Pakistan.
1. In complete record
2. Exemptions
3. Compensation
4. Weak financial position of formers
5. No farmer unions
6. Role of bureaucracy
7. Less fertile land
8. Political powers
9. Transfer of papers only

Q no 5. What do you understand by Cottage & Small scale industry?

Importance of Small scale industry

1. Increase in foreign exchange

2. Use of industrial waste
3. Employment for women
4. Increase in income
5. Cheaper production
6. Proper distribution of wealth
7. Established with small capital
8. Development of backward areas
9. Reduction in population pressure
10. Reduction in migration
 11. Fewer burdens on urban areas
12. Increase in industrial production
13. Increase in employeement

Q no 6. Problems of Cottage & Small Scale Industry in Pakistan Suggest measures

to remove these problems
Problems
1. Lack of finance
2. Competition
3. Import policy
4. Smuggling
5. Old method of production
6. Lack of marketing facilities
Measures to remove the problems
1. Credit facility
2. Small scale industry coopration
3. Industrial estates
4. Testing laboratories
5. Supply of designs
6. Standardization
7. Facility of raw material
8. Purchase of cottage industry product
9. Protection against foreign competition
10. Establishment of training institutes
11. Marketing facilities

Q no 7. Discuss the functions of state bank in the economic development of Pakistan

1. Monopoly on note issue

2. Government account holder
3. Lender to government
4. Public debt management
5. Financial advisor
6. Banker’s bank
7. Maintains cash resaves
8. Lander of lost resort
9. Clearness houses
10. Foreign exchange policy
11. Manage the exchange
12. Exchange rate reliability
13. Control on credit
14. Price reliability
15. Increase of falling & rising prices
16. Growth and control of banks
17. Assistance to specialized financial institutes
18. Export finance team
 19. Introduced Islamic banking

Q no 8. Define inflation, discuss causes of inflation in Pakistan and suggest measures

to remove inflation

Inflation

Persistent rise in general level of prices is called inflation

Causes of inflation
1. Demand pull inflation
 High monitory expenses
 Foreign remedies
 Foreign aid
 Consumption habits
 Nationalization of industries
 Increase in population

2. Cost pull inflation

 Rising prices of imported goods
 Devaluation of currency
 Increase in wages

3. Long term development projects

4. Non development expenditures