Page 317 - 9 teachers social book 9 @ 2077 ctp_Neat

5. Increases Capital Formation

Capital formation means the transfer of savings from individuals or government
to business investment. When the common people get opportunities of employment,
learning skills and increasing their efficiency, the economic activities grow
considerably. A good economic planning can provide such opportunities to people. The
saving capacity of people increases with the increase of economic activities. People are
encouraged to invest their money in business for making more money. Consequently,
there is increase in capital formation

Activity

Discuss the program launched by your Rural Municipality/Municipality to reduce
unemployment problems, eliminate poverty and enhance lifestyle of the
people in your community.

Exercise

Answer the following questions:
1. What are the relationships between economic planning and poverty alleviation?
2. How does economic planning help in poverty alleviation?
3. “Employment is the basic strategy for poverty alleviation”. Justify the statement.
4. In what ways can planned development strengthen the national economy and
alleviate poverty?
5. Why is planned development necessary? Explain.

Community Work

Attend any community-based program launched by your Rural Municipality/
Municipality based on economic growth and present it in the class.

317 Dynamic Social Studies - Book IX