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1. Background

1. The economic crisis of 1991 due to high fiscal deficits, balance of payments issues, and low foreign reserves necessitated reforms.
2. The New Economic Policy (NEP) of 1991 introduced LPG reforms under the leadership of P.V. Narasimha Rao and Dr. Manmohan Singh.

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1. Introduction to Five-Year Plans

1. The Five-Year Plans were introduced post-independence to guide India's economic development.
2. Formulated and monitored by the Planning Commission, established in 1950.
3. Replaced by NITI Aayog in 2015, marking the end of the Five-Year Plan era.

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1. Definition of PPC

1. PPC is a graphical representation showing all possible combinations of two goods that an economy can produce using its available resources and technology efficiently.
2. Efficiency: Points on the curve represent efficient production levels.
3. Scarcity: The curve highlights resource limitations.

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Opportunity cost is a fundamental concept in economics that refers to the value of the next best alternative foregone when a choice is made.