Who used first ever the 'cost benefit analysis' in India?

Question

Accepted Answer

The correct option is 2:
D. R. Gadgil (Dhananjay Ramchandra Gadgil) is considered the first Indian economist to effectively utilize the principles of Cost-Benefit Analysis (CBA) in the context of developmental planning and resource allocation in India. Although CBA methods were used by British civil servants for project justification (especially for irrigation projects) long before independence, Gadgil popularized and standardized its application in modern Indian economic analysis, particularly in evaluating public projects like irrigation and power schemes during the early years of centralized planning. His work emphasized the comparison of social costs and social benefits of public investment, moving beyond mere financial profitability to determine true economic desirability, making him the pioneer among the options listed for applying this systematic economic tool in the planning process.

The incorrect option is 1:
Manmohan Singh is a highly respected economist and former Prime Minister, but his significant contributions to Indian economics came much later, primarily associated with the liberalization and reform era starting in the 1990s. He was not the first to use CBA in India's developmental planning context.

The incorrect option is 3:
V. K. R. V. Rao was a distinguished economist known for his pioneering work in national income accounting in India. While he made immense foundational contributions to Indian economic research and policy, his primary association is not with the first application of cost-benefit analysis for project evaluation.

The incorrect option is 4:
Kumara Swaminathan (or M. S. Swaminathan, often cited in this context) is famous for his foundational role in the Green Revolution in India, primarily focusing on agricultural science and policy to boost food production. His work, while critical to agricultural growth, did not involve pioneering the application of the cost-benefit analysis framework in the country.