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Economic Affairs Planning in India

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Indicative Planning is

1. When the state sets broad parameters and goals for the economy

2. When the plan is made for 15-20 years

3. When targets to be achieved are indicated broadly

4. When the plan is reviewed every third month

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Indicative planning is a form of economic planning implemented by a state in an effort to solve the problem of imperfect information in market and mixed economies in order to increase economic performance. ... Planning by inducement is often referred to as indicative planning .