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State four importance of development planning.

      

State four importance of development planning.

  

Answers


johnson
•It guides and enables capital formation

•It reduces unemployment

•It enhances the overall balance in economy

•It initiates and implements long term projects

•It enables government to obtain foreign funding

•It enables optimum utilization of resources

OR

The need for planning in Least Developed Ccountries is stretched by the necessity of removing widespread unemployment. Capital being scarce and labour being abundant, the problem of providing gainful employment to an ever increasing labour force is a difficult one and can only be achieved through centralized planning.
This kind of planning is also necessary for raising rational per capita income and for reducing inequalities of income thus, eradicating poverty.
Without sufficient enterprise and initiative the planning authority is the only institution for planning a balanced development of the economy. This entails the development of the agricultural and industrial sectors, the establishment of social and economic overheads and the expansion of domestic and foreign trade sectors.
This requires simultaneous investment in different sectors and can only be possible with development planning.
Planning for development is undertaken presumably because the pace and direction of development without external intervention is considered unsatisfactorily. Planners seek to bring- about rationalization and if possible and necessary some reduction in consumption to increase investment expenditure.
johnson mwenjera answered the question on January 6, 2018 at 05:44


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