|One of the key features of many flagship schemes such as MGNREGA and NRLM is that they are "Demand Driven". What is / are the feature / features of a demand driven scheme?|
|1. The process is driven from the grassroots of the society|
|2. The planning is highly centralised|
|3. Implementation is largely done by the Central Government|
|Choose the correct option:|
A) Only 1
B) 1 & 2
C) 2 & 3
D) 1, 2 & 3
Correct Answer: C
Solution :There are two systems, one is allocation based and another is demand driven. Allocation based can be also called supply driven. The Demand driven implies that: 1. The scheme implementation is driven from below by the grassroots institutions of poor. 2. The planning will be highly decentralised 3. It is driven by the institutions such as PRIs, SHGs etc. Under NREGA, the jobs are demand driven. Under NRLM also, a demand driven strategy is adopted. States have the flexibility to develop their action plans for poverty reduction which will include a 7 year Perspective Plan and a detailed Annual Action Plan. The overall plan will be within the allocation for the state based on inter-se poverty ratios.
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