Class 12 Economics Study Notes Previous year question papers , sample paper , NCERT Solutions, and all other study material for Economics subject of class 12th are present here for students and teachers.
Class 12 Economics
Economics is one of the social sciences, which has great influence on every human being. As economic life and the economy go through changes, the need to ground education in children’s own experience becomes essential. While doing so, it is imperative to provide them opportunities to acquire analytical skills to observe and understand the economic realities.
CBSE Class 12 Economics consists of the following textbook ( published by NCERT)
1. Statistics for Economics, NCERT
2. Indian Economic Development, NCERT
3. Introductory Microeconomics, NCERT
4. Macroeconomics, NCERT
Resource ( Study Material )
| CBSE Class 12 Economics Syllabus |
| CBSE Class 12 Economics Study Notes |
| CBSE Class 12 Economics NCERT Solutions |
| CBSE Class 12 Economics Sample Paper |
| CBSE Class 12 Economics Model Test Paper |
| CBSE Class 12 Economics Previous Year Question Papers |
CBSE Class 12th Economics Syllabus
Part A: Introductory Macroeconomics
Unit 1: National Income and Related Aggregates
o What is Macroeconomics?
o Basic concepts in macroeconomics: consumption goods, capital goods, final goods, intermediate goods; stocks and flows; gross investment and depreciation.
o Circular flow of income (two sector model); Methods of calculating National Income – Value Added or Product method, Expenditure method, Income method.
o 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.
o GDP and Welfare
Unit 2: Money and Banking
o Money – meaning and functions, supply of money – Currency held by the public and net demand deposits held by commercial banks.
o Money creation by the commercial banking system.
o 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, CRR, SLR, Repo Rate and Reverse Repo Rate, Open Market Operations, Margin requirement.
Unit 3: Determination of Income and Employment
o Aggregate demand and its components.
o Propensity to consume and propensity to save (average and marginal).
o Short-run equilibrium output; investment multiplier and its mechanism.
o Meaning of full employment and involuntary unemployment.
o 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
o Government budget – meaning, objectives and components.
o 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
o Balance of payments account – meaning and components;
o Balance of payments – Surplus and Deficit
o Foreign exchange rate – meaning of fixed and flexible rates and managed floating.
o Determination of exchange rate in a free market, Merits and demerits of flexible and fixed exchange rate.
o Managed Floating exchange rate system
Part B: Indian Economic Development
Unit 6: Development Experience (1947-90) and Economic Reforms since 1991:
o A brief introduction of the state of Indian economy on the eve of independence. Indian economic system and common goals of Five Year Plans.
o Main features, problems and policies of agriculture (institutional aspects and new agricultural strategy), industry (IPR 1956; SSI – role & importance) and foreign trade.
o 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
o Human Capital Formation: How people become resource; Role of human capital in economic development; Growth of Education Sector in India
o Rural development: Key issues – credit and marketing – role of cooperatives; agricultural diversification; alternative farming – organic farming
o Employment: Growth and changes in work force participation rate in formal and informal sectors; problems and policies
o Sustainable Economic Development: Meaning, Effects of Economic Development on Resources and Environment, including global warming
Unit 8: Development Experience of India
o A comparison with neighbours
India and Pakistan
India and China
o Issues: economic growth, population, sectoral development and other Human Development Indicators
Reference : CBSE Academics
CBSE Class 12 Economics Study Notes
NCERT Text Book Class 12 Economics – “Introductory Macroeconomics”
Study Notes Chapter 1 ( Introduction )
Study Notes Chapter 2 ( National Income Accounting )
Study Notes Chapter 3 ( Money and Banking )
Study Notes Chapter 4 ( Determination of Income and Employment )
Study Notes Chapter 5 ( Government Budget and the Economy )
Study Notes Chapter 6 ( Open Economy Macroeconomics )
NCERT Text Book Class 12 Economics – “Indian Economic Development”
Study Notes Chapter 1 ( Indian Economy on the Eve of Independence )
Study Notes Chapter 2 ( Development Experience ( 1947-90 )
Study Notes Chapter 3 ( Economic Reforms Since 1991 )Study Notes Chapter 4 ( Poverty ) [ Not included in syllabus for 2022-23]
Study Notes Chapter 5 ( Human Capital Formation )
Study Notes Chapter 6 ( Rural Development )
Study Notes Chapter 7 ( Employment )Study Notes Chapter 8 ( Infrastructure ) [ Not included in syllabus for 2022-23]
Study Notes Chapter 9 ( Sustainable Economic Development )
Study Notes Chapter 10 ( Development Experience of India – A Comparison with Neighbors )
CBSE Class 12 Economics NCERT Solutions
NCERT Text Book Class 12 Economics – “Introductory Macroeconomics”
NCERT Solution Chapter 1 ( Introduction )
NCERT Solution Chapter 2 ( National Income Accounting )
NCERT Solution Chapter 3 ( Money and Banking )
NCERT Solution Chapter 4 ( Determination of Income and Employment )
NCERT Solution Chapter 5 ( Government Budget and the Economy )
NCERT Solution Chapter 6 ( Open Economy Macroeconomics )
NCERT Text Book Class 12 Economics – “Indian Economic Development”
NCERT Solution Chapter 1 ( Indian Economy on the Eve of Independence )
NCERT Solution Chapter 2 ( Development Experience ( 1947-90 )
NCERT Solution Chapter 3 ( Economic Reforms Since 1991 )NCERT Solution Chapter 4 ( Poverty ) [ Not included in syllabus for 2022-23]
NCERT Solution Chapter 5 ( Human Capital Formation )
NCERT Solution Chapter 6 ( Rural Development )
NCERT Solution Chapter 7 ( Employment )NCERT Solution Chapter 8 ( Infrastructure ) [ Not included in syllabus for 2022-23]
NCERT Solution Chapter 9 ( Sustainable Economic Development )
NCERT Solution Chapter 10 ( Development Experience of India – A Comparison with Neighbors )
CBSE Class 12 Economics Previous Year Question Papers
CBSE Class 12 Economics Question Paper 2022
CBSE Class 12 Economics Question Paper 2021
CBSE Class 12 Economics Question Paper 2020
CBSE Class 12 Economics Question Paper 2019
CBSE Class 12 Economics Question Paper 2018
CBSE Class 12 Economics Question Paper 2017
CBSE Class 12 Economics Question Paper 2016
CBSE Class 12 Economics Question Paper 2015
CBSE Class 12 Economics Question Paper 2014
CBSE Class 12 Economics Question Paper 2013
CBSE Class 12 Economics Question Paper 2012
CBSE Class 12 Economics Question Paper 2011
CBSE Class 12 Economics Question Paper 2010