None of the above assumptions came true and the subsequent developments proved that the Nehruvian model had some in-built flaws. The development model was revisited in 1990s. The reforms, however, made only one change: it shifted Nehru’s policy of industrial socialism to industrial capitalism; the problems of the rural and poor masses remained neglected. Subsequently, an attempt was made to redress them through a policy of welfare which implied that the poor and needy be identified and benefited through appropriate rural development programs such as NREGS. The Eleventh Five Year Plan gave a new concept of inclusive growth for this.

The next lecture will focus on the theory and practice of the inclusive growth. Yet, before we conclude it may be said that under the Nehruvian model India has emerged as one of the major economies of the world. This is not a mean achievement. Counterfactual thinking is of course important and it is good to ask: what would have happened if we followed the Gandhian or the socialist model? Certainly neither of them could have done justice to all problems of India. All isms have their own problems and limitations. Deemphasizing the urban-industrial sector or state regulation too would have enormous problems for Indian people.