Read the following five passage and answer the items that follow. Your answers to these items should be based on the passages only.

Economic liberalization in India was shaped largely by the economic problems of the government than by the economic priorities of the people or by the long-term development objectives. Thus, there were limitations in conception and design which have been subsequently validated by experience. Jobless growth, persistent poverty and rising inequality have mounted as problems since economic liberalization began. And all these years later, four quiet crises confront the economy: agriculture infrastructure, industrialization and education as constraints on the country’s future prospects. These problems must be resolved if economic growth has to be sustained and transformed into meaningful development.

Which of the following is/are the most rational and logical Inference/ Inferences that can be made from the passage?

Select the correct answer using the code given below.

1. It is essential to rethink and redefine the economic role of the state in the quest for development.
2. India has not made effective implementation of its policies in social sectors nor made sufficient investments in them