Syllabus

Latest Syllabus 2023-24

(Issued by CBSE on 31st March 2023)
ECONOMICS (Code No: - 030)
CLASS-XII
Theory : 80 Marks Time : 3 Hours
Project : 20 Marks

Units Marks Periods

Part A INTRODUCTORY MACROECONOMICS

National Income and Related Aggregates 10 30

Money and Banking 06 15

Determination of Income and Employment 12 30
Government Budget and the Economy 06 17
Balance of Payments 6 18
40
Part B INDIAN ECONOMIC DEVELOPMENT

Development Experience (1947-90) 12 28

and Economic Reforms since 1991

Current Challenges facing Indian Economy 20 50

Development Experience of India – A Comparison with 08 12

Neighbours
Theory Paper (40+40 = 80 Marks) 40
200

Part C PROJECT WORK 20 20

Part A : Introductory Macroeconomics

Unit 1 : National Income and Related Aggregates 30 Periods

What is Macroeconomics?
Basic concepts in macroeconomics: consumption goods, capital goods, final goods, intermediate
goods; stocks and flows; gross investment and depreciation.
Circular flow of income (two sector model); Methods of calculating National Income-Value Added
or Product method, Expenditure method, Income method.
Aggregates related to National Income:
Gross National Product (GNP), Net National Product (NNP), Gross Domestic Product (GDP) and
Net Domestic Product (NDP) - at market price, at factor cost; Real and Nominal GDP
GDP Deflator, GDP and Welfare

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Unit 2 : Money and Banking 15 Periods
Money – meaning and functions, supply of money - Currency held by the public and net demand
deposits held by commercial banks.
Money creation by the commercial banking system.
Central bank and its functions (example of the Reserve Bank of India): Bank of issue, Govt. Bank,
Banker’s Bank, Control of Credit through Bank Rate, Cash Reserve Ratio (CRR), Statutory Liquid-
ity Ratio (SLR), Repo Rate and Reverse Repo Rate, Open Market Operations, Margin requirement.
Unit 3 : Determination of Income and Employment 30 Periods
Aggregate demand and its components.
Propensity to consume and propensity to save (average and marginal).
Short-run equilibrium output; investment multiplier and its mechanism.
Meaning of full employment and involuntary unemployment.
Problems of excess demand and deficient demand; measures to correct them - changes in
government spending, taxes and money supply.
Unit 4: Government Budget and the Economy 17 Periods
Government budget - meaning, objectives and components.
Classification of receipts - revenue receipts and capital receipts;
Classification of expenditure – revenue expenditure and capital expenditure.
Balanced, Surplus and Deficit Budget – measures of government deficit.
Unit 5 : Balance of Payments 18 Periods
Balance of payments account - meaning and components;
Balance of payments – Surplus and Deficit
Foreign exchange rate - meaning of fixed and flexible rates and managed floating.
Determination of exchange rate in a free market, Merits and demerits of flexible and fixed ex-
change rate.
Managed Floating exchange rate system

Part B : Indian Economic Development

Unit 6 : Development Experience (1947-90) and Economic Reforms since 1991:
28 Periods
A brief introduction of the state of Indian economy on the eve of independence.
Indian economic system and common goals of Five Year Plans.
Main features, problems and policies of agriculture (institutional aspects and new agricultural
strategy), industry (IPR 1956; SSI – role & importance) and foreign trade.
Economic Reforms since 1991:
Features and appraisals of liberalisation, globalisation and privatisation (LPG policy);
Concepts of demonetization and GST
Unit 7 : Current challenges facing Indian Economy 60 Periods
Human Capital Formation: How people become resource; Role of human capital in economic de-
velopment; Growth of Education Sector in India
Rural development: Key issues - credit and marketing - role of cooperatives; agricultural diversifi-
cation; alternative farming - organic farming
Employment: Growth and changes in work force participation rate in formal and informal sectors;
problems and policies
Sustainable Economic Development: Meaning, Effects of Economic Development on Resources
and Environment, including global warming
Unit 8 : Development Experience of India: 12 Periods
A comparison with neighbours
India and Pakistan
India and China
Issues: economic growth, population, sectoral development and other Human Development Indi-
cators

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Part C : Project in Economics 20 Periods
Prescribed Books:
1. Statistics for Economics, NCERT
2. Indian Economic Development, NCERT
3. Introductory Microeconomics, NCERT
4. Macroeconomics, NCERT
5. Supplementary Reading Material in Economics, CBSE
Note : The above publications are also available in Hindi Medium.

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SUGGESTED QUESTION PAPER DESIGN

Economics (Code No. 030)
Class XII (2023-24)
March 2024 Examination
Marks: 80 Duration: 3 Hrs.

Percent-
S.No. Typology of Questions Marks
age

Remembering and Understanding:

Exhibit memory of previously learned material by recalling facts, terms,
1. basic concepts, and answers. 44 55%
Demonstrate understanding of facts and ideas by organizing, comparing,
translating, interpreting, giving descriptions, and stating main ideas

Applying: Solve problems to new situations by applying acquired

2. 18 22.5%
knowledge, facts, techniques and rules in a different way.

Analysing, Evaluating and Creating:

Examine and break information into parts by identifying motives or
causes. Make inferences and find evidence to support generalizations.
3. Present and defend opinions by making judgments about information, 18 22.5%
validity of ideas, or quality of work based on a set of criteria.
Compile information together in a different way by combining elements
in a new pattern or proposing alternative solutions.

Total 80 100%

Guidelines for Project Work in Economics (Class XI and XII)

The objectives of the project work are to enable learners to:
 probe deeper into theoretical concepts learnt in classes XI and XII
 analyse and evaluate real world economic scenarios using theoretical constructs and arguments
 demonstrate the learning of economic theory
 follow up aspects of economics in which learners have interest

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 develop the communication skills to argue logically
The expectations of the project work are that:
 learners will complete only ONE project in each academic session
 project should be of 3,500-4,000 words (excluding diagrams & graphs), preferably hand-written
 it will be an independent, self-directed piece of study
Role of the teacher :
The teacher plays a critical role in developing thinking skills of the learners. A teacher should:
 help each learner select the topic based on recently published extracts from the news media, govern-
ment policies, RBI bulletin, NITI Aayog reports, IMF/World Bank reports etc., after detailed discussions
and deliberations of the topic
 play the role of a facilitator and supervisor to monitor the project work of the learner through periodic
discussions
 guide the research work in terms of sources for the relevant data
 educate learner about plagiarism and the importance of quoting the source of the information to ensure
authenticity of research work
 prepare the learner for the presentation of the project work
 arrange a presentation of the project file
Scope of the project :
Learners may work upon the following lines as a suggested flow chart:
Choose a title/topic

Collection of the research material/data

Organization of material/data

Present material/data

Analysing the material/data for conclusion

Draw the relevant conclusion

Presentation of the Project Work
Expected Checklist :
 Introduction of topic/title
 Identifying the causes, consequences and/or remedies
 Various stakeholders and effect on each of them
 Advantages and disadvantages of situations or issues identified
 Short-term and long-term implications of economic strategies suggested in the course of research
 Validity, reliability, appropriateness and relevance of data used for research work and for presentation
in the project file
 Presentation and writing that is succinct and coherent in project file
 Citation of the materials referred to, in the file in footnotes, resources section, bibliography etc.
Mode of presentation/submission of the Project:
At the end of the stipulated term, each learner will present the research work in the Project File to the

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 Syllabus
External and Internal examiner. The questions should be asked from the Research Work/ Project File of the
learner. The Internal Examiner should ensure that the study submitted by the learner is his/her own original
work. In case of any doubt, authenticity should be checked and verified.
Marking Scheme :
Marks are suggested to be given as –
S. No. Heading Marks Allotted
1. Relevance of the topic 3
2. Knowledge Content/Research Work 6
3. Presentation Technique 3
4. Viva-voce 8
Total 20 Marks
SUGGESTIVE LIST OF PROJECTS:

Class - XII
 Micro and Small Scale Industries  Food Supply Channel in India
 Contemporary Employment situation in India  Disinvestment policy of the government
 Goods and Services Tax Act and its Impact on GDP  Health Expenditure (of any state)
 Human Development Index  Inclusive Growth Strategy
 Self-help group  Trends in Credit availability in India
 Monetary Policy Committee and its functions  Role of RBI in Control of Credit
 Government Budget & its Components  Trends in budgetary condition of India
 Exchange Rate determination – Methods and  Currency War – reasons and repercussions
Techniques
 Livestock – Backbone of Rural India  Alternate fuel – types and importance
 Sarva Shiksha Abhiyan – Cost Ratio Benefits  Golden Quadrilateral- Cost ratio benefit
 Minimum Support Prices  Relation between Stock Price Index and
Economic Health of a Nation
 Waste Management in India – Need of the hour  Minimum Wage Rate – Approach and Application
 Digital India- Step towards the future  Rain Water Harvesting – A solution to water crisis
 Vertical Farming – An alternate way  Silk Route- Revival of the past
 Make in India – The way ahead  Bumper Production- Boon or Bane for the farmer
 Rise of Concrete Jungle- Trend Analysis  Organic Farming – Back to the Nature
 Aadmanirbhar Bharat  e-Rupee (e- `)
 Sri Lanka’s Economic Crisis  Sustainable Development Goals (SDG’s)
 Environmental Crisis  Comparative Study of Economies (Maximum
three economies)
 New Education Policy (NEP) 2020: A Promise for  G-20: Inclusive and Action Oriented
a New Education System
 Amrit Kaal: Empowered and Inclusive Economy  Cashless Economy
 Any other newspaper article and its evaluation  Any other topic
on basis of economic principles
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