CBSE Class 12 syllabus for Economics paper
CBSE Class 12 syllabus 2018: The Central Board of Secondary Education (CBSE) will conduct board examinations from February for the coming academic year 2019. The board has already released a list of vocational subjects for the examinations that will be conducted from February to March 2019, the schedule and date of the examinations will be released later.
From next year, the students need to get a minimum of 33 per cent marks in theory and practical combined to declare pass in the subject to get pass in the Class 10 examinations.
CBSE Class 12 syllabus 2018: Here is the complete syllabus on Economics
What is microeconomics?
Central problems of an economy, production possibility curve and opportunity cost.
Consumer Behaviour and Demand
• Consumer’s Equilibrium: meaning and attainment of equilibrium through Utility Approach: One and two commodity cases.
• Demand: market demand, determinants of demand, demand schedule, demand curve, movement along and shifts in demand curve, price elasticity of demand, measurement of price elasticity of demand – percentage, total expenditure and geometric methods
Unit III: Producer Behaviour and Supply
• Production function: returns to factor and returns to scale
• Supply: market supply, determinants of supply, supply schedule, supply curve movement along and shifts in supply curve, price elasticity of supply, measurement of price elasticity of supply – percentage and geometric methods
• Cost and Revenue: Concepts of costs; short-run cost curves (fixed and variable costs; total, average and marginal costs); concepts of revenue – total, average and marginal revenue and their relationship. Producer’s equilibrium – with the help of MC and MR.
Unit IV: Forms of Market and Price Determination
• Forms of market – perfect competition, monopoly, monopolistic competition – their meaning and features.
• Price determination under perfect competition – equilibrium price, effects of shifts in demand and supply.
Unit V: Simple Applications of Tools of Demand and Supply Curves
The teachers can be given the flexibility to choose the issues: rationing, floors and ceilings and Food Availability Decline (FAD) Theory (the teachers may also choose alternative examples that are simple and easy to understand)
Note to textbook writers: More examples from day-to-day context could be given. More numerical examples (solved) will have to be given. Use of pictures, charts and simple tables is essential.
Course II: Introductory Macroeconomics
The overall working of an economy and some of its economic theorisation are introduced in this course. The learners will get some basic idea of how the government regulates the functioning of economic aspects of a country through accounting of the production activities, running financial institutions, budgeting and the accounting of its economic interaction with other countries. The impact it will have on citizens is also briefly introduced.
Unit I: National Income and Related Aggregates — Basic Concepts and Measurement
• Macroeconomics: meaning.
• Circular flow of income, concepts of GDP, GNP, NDP, NNP (at market price and factor cost), National Disposable Income (gross and net); Private Income, Personal Income and Personal Disposable Income
• Measurement of National Income –Value Added method, Income method and Expenditure method
Unit II: Determination of Income and Employment
• Aggregate demand, aggregate supply and their components
• Propensity to consume and propensity to save (average and marginal)
• Meaning of involuntary unemployment and full employment
• Determination of income and employment: two sector model
• Concept of investment multiplier and its working
• Problems of excess and deficient demand
• Measures to correct excess and deficient demand – availability of credit, change in government spending Unit
III: Money and Banking
• Money: meaning, evolution and functions
• Central bank: meaning and functions
• Commercial banks: meaning and functions
• Recent significant reforms and issues in Indian Banking System: privatisation and modernisation
Unit IV: Government Budget and the Economy
• Government budget – meaning and its components
• Objectives of government budget
• Classification of receipts – revenue and capital; classification of expenditure – revenue and capital, plan and non-plan, and developmental and non-developmental
• Balanced budget, surplus budget and deficit budget: meaning and implications
• Revenue deficit, fiscal deficit and primary deficit: meaning and implications; measures to contain different deficits
• Downsizing the role of government: meaning and implications
Unit V: Balance of Payments
• Foreign exchange rate – meaning (fixed and flexible), merits and demerits; determination through demand and supply
• Balance of payments accounts – meaning and components
• A brief analysis about recent exchange rate issues Note to textbook writers: Since this course will take the learner to a higher level of abstraction, there is a need to provide more examples from day-to-day context. More numerical examples (solved) will have to be given. Use of pictures, charts and simple tables is essential.