5.
Economics
Vision for the subject: Economics is present in our day-to-day lives. Through this course, students will learn how individuals,
groups, and nations use their resources. They will also learn how to apply their learning in their lives and make informed decisions.
They will study historical trends and patterns and make predictions for the future.
Goals or priorities:
a. Build basic economic numeracy and literacy
b. Understanding economic theories, terminologies, and principles
c. Build analytical and problem-solving skills
d. Express economic ideas logically and in written form
e. Apply their understanding to attempt to solve real-world problems
f. Take a greater part in decision-making processes in everyday life
Skills to be developed:
a. Apply basic economic numeracy and literacy skills
b. Express economic ideas logically and in written form
c. Use economic information to recognise patterns and deduce relationships
d. State their analysis and support it with reasoning, data, or evidence
e. Apply the tools of economic analysis
f. Distinguish between economic analysis and unreasoned arguments
Pedagogical practices
a. Students are posed with a problem that they have to share solutions for.
b. Students will get opportunities to work with their peers in pairs, groups; independently; through guided-practice.
c. I Used to Think…Now I think: This will encourage students to track their thinking and how it keeps evolving.
d. Clear and Cloudy: This will help students identify what they understand well and what they need more support with.
e. Turn and Talk: This gives all students a chance to share their understanding and opinions.
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SKILLS ECONOMICS
Concept a. Understand and explain economic concepts, recall facts, formulae and definitions
Understanding b. Measure and explain the impact and consequences of changes in economic variables
Communication a. Based on research, present findings to an audience and support them with evidence and reasoning
Critical Thinking a. Make connections with real life
b. Find multiple ways to solve a problem
c. Compare and contrast different points of view
d. Make predictions, conclusions, and inferences based on data analysis
Research and a. Come up with problem statements and explore them through research
investigation b. Differentiate between credible and non-credible sources
c. Cite credible sources to support their research.
Socio-Emotional a. Develop self-management skills
Skills b. Develop social awareness
c. Make responsible and informed decisions
Unit Big questions Topics Learning objectives
Semester 1
Unit 1 - 1. How does Subunit 1: Scarcity and Subunit 1: Microeconomics (Refresher I)
Microeconomics microeconomics help Choice; Central Problems of an
and determine the demand and Economy; PPC and a. Define microeconomics and identify the central
Macroeconomics supply of products in the Opportunity Cost; Demand and problems of an economy
: Recap market? Supply; Shifts in Demand and b. Describe and differentiate major economic
Supply; Price Elasticity of systems: market, planned, and mixed
Demand and Price Elasticity of c. Differentiate among: free goods, public goods,
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Supply; Price Ceiling and Price private goods, merit and demerit goods
Floor d. Explain factors of production and differentiate
between human and physical capital
e. Illustrate society’s trade-offs by using a
production possibilities frontier (or curve) and
opportunity costs
f. Explain the determinants of demand and
supply, and illustrate the movements and shifts
along the demand and supply curves
g. Explain market failure and describe price
ceilings and price floors
h. Explain and graphically illustrate market
equilibrium, surplus, and shortage
i. Explain and compute the price elasticity of
demand and price elasticity of supply
2. How does consumer and Subunit 2: Consumer Subunit 2: Microeconomics (Refresher II)
producer behaviour help Equilibrium using Marginal
determine the Analysis; Indifference Curves, a. Describe the marginal utility approach (along
profit-maximising Budget Line; Consumer with diminishing marginal utility) and illustrate
conditions in the market? Surplus; Production Function; consumer’s equilibrium with one commodity
Products, Costs, and Revenues; case and two commodity case
Producer equilibrium; Producer b. Explain how consumers make choices based on
Surplus; Forms of Market: their preferences and budget constraints with
Perfect Competition, the help of indifference curves
Monopolistic Competition, c. Define and calculate costs, products, and
Monopoly, and Oligopoly revenues (average, marginal, total, fixed, and
variable) in the short and long term.
d. Explain the law of variable proportions and
production function
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e. Explain the producer’s equilibrium and its
conditions in terms of marginal
revenue-marginal cost along with the
break-even and shut-down point of a producer
f. Define and illustrate consumer and producer
surplus and analyse their connection to
marginal utility analysis and
consumer/producer equilibrium
g. Differentiate between different market forms:
perfect competition, monopolistic competition,
monopoly, and oligopoly*
3a. How do national Subunit 3: Evolution of Subunit 3: Macroeconomics (Refresher I)
income aggregates and the Macroeconomics; National
components of aggregate Income and Related a. Chart the evolution of macroeconomics and
demand and supply decide Aggregates; Aggregate Demand outline the goals, policy framework, and tools
the productive capacity of and Aggregate Supply; AS-AD required in macroeconomic study*
an economy? Model; Propensity to Save and b. Explain concepts: consumption goods, capital
Consume; Economic Growth; goods, final goods, intermediate goods, stocks
3b. How does the study of Characteristics of Developing and flows, net and gross investment, and
inflation and and Developed economy; depreciation
unemployment help us Actual Output and Potential c. Explain the circular flow of income, GDP,
understand the extent of Output; Inflation and methods of calculating national income,
economic growth in an Unemployment: Types, Causes, nominal and real GDP, CPI, and related
economy? and Consequences national income aggregates, and analyse why
GDP is not a measure of welfare
d. Describe and illustrate (graphically and
algebraically) aggregate demand, aggregate
supply, and the AD-AS model, and discuss how
output, price level, and employment are
determined
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e. Explain macroeconomic equilibrium with price
level fixed through consumption and
investment function
f. Discuss the meaning, determinants, measures,
and costs and benefits of economic growth*
g. Examine how economic growth differs in
developing and developed nations
h. Explain the meaning, causes, types, and
consequences of unemployment with examples
i. Explain the meaning, types, causes, and
consequences of inflation, and analyse how
changes in the price level are measured by CPI*
4a. How does the Subunit 4: Government Subunit 4: Macroeconomics (Refresher II)
government use fiscal, Budget; Classification of
monetary, and supply-side Receipts and Expenditure; a. Explain the meaning, objectives, and
measures to achieve the Deficit and Surplus Budgets; components of a government budget
macroeconomic objectives Fiscal, Monetary and b. State the conditions of balance, surplus, and
of the economy? Supply-Side Policies; Public deficit of a government budget, and discuss the
Debt; Balance of Payments; measures of government deficit in relation to
4b. In what ways do Foreign Exchange Rate: Types; revenue, fiscal, and primary deficit
globalisation and global International Trade, c. Classify taxation and critically examine public
value chains impact the Comparative and Absolute debt
movement of goods and Advantage; Globalisation; d. Discuss the instruments and types of fiscal
services, culture, capital Supply Chains and Global (Keynesian model), monetary, and supply-side
flows, information, people, Value Chains; Glocalisation policies
and investment in a e. Explain the meaning and components of BoP,
country? and discuss the consequences of BoP surplus
and deficit for current and capital account
f. Determine the types, merits, and demerits of
foreign exchange rates
g. Explain the causes, consequences, effects, and
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factors of changing foreign exchange
rates/exchange rate fluctuations
h. Explain the following: terms of trade, absolute
and comparative advantage of international
trade*
i. Explain the effects of free trade and
protectionism*
j. Discuss the costs and benefits of globalisation
wrt to goods, people, ideas, capital flows, and
investment
k. Distinguish between value chains, global supply
chains, and glocalisation, with reference to
developing economies, different stakeholders,
businesses, and consumers*
Unit 2 - 1. What role does a central Subunit 1: Money: Meaning, Subunit 1: Money and Banking
Advanced bank play in the Evolution, and functions;
Macroeconomics formulation of the Functions of Central Bank and a. Trace the evolution of money and state its
monetary policy of an Functions of Commercial important functions in banking and economy
economy? Banks, Commercial Banking b. Explain the process of credit creation/money
System in India creation in the economy by commercial banks
c. Elucidate the functions and all the instruments
of credit control used by a central bank
d. Give an overview of the commercial banking
system in India
2. To what extent does the Subunit 2: Determination of Subunit 2: Determination of Income and
investment multiplier income and employment: Employment
affect the productive three-sector model; Investment
capacity of an economy, Multiplier; Problems of Excess a. Revise the determination of equilibrium level
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and how can problems of and Deficient Demand; using two approaches: AD-AS approach and
excess and deficient Measures to Correct Excess and Saving-Investment (S-I approach)
demand be addressed? Deficient Demand b. Illustrate the workings of the investment
multiplier
c. Explain the reasons for excess demand and
deficient demand in the economy*
d. Describe measures to control excess and
deficient demand*
e. Explain the workings of excess and deficient
demand in a three-sector economy*
Subunit 3: CUET Practice
Unit 3 - Indian 1. In what ways did Subunit 1: State of the Indian Subunit 1: The British Raj and Pre-independent
Economy: colonial rule impact the economy in the British Raj, India
Introduction growth trajectory of the Decline of Indian Handicrafts,
Indian Economy? Progressive Ruralisation of the a. Chart the state of the Indian economy in the
Indian Economy, British Raj wrt the economy, land system,
Commercialisation of agriculture, and industries
Agriculture b. Explain the decline of Indian handicrafts and
the progressive ruralisation of the Indian
economy
c. Describe the process of commercialisation of
agriculture in pre-independent India
2. How did the process of Subunit 2: Process of Subunit 2: Industrial Transition before
industrial transition in Industrial Transition in Independence
pre-independent India take pre-independent India
place? a. Trace the pattern and causes of industrial
transition in pre-independent India
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3. What are the different Subunit 3: Economic and Subunit 3: Economic and Industrial Planning in
models of development Industrial Planning in India India
that have been adopted by
India over the years? How a. Explain the goals of FYPs and development
have they influenced the strategy of FYPs of India
growth and development of b. Outline the important features of IPR 1956,
different sectors? Industrial Policy Statement 1977*, Industrial
Policy of 1980*, Industrial Licensing Policy, and
Industrial Policy 1991
c. Study the LPG model of development and
briefly evaluate the economic reforms between
the period 1985-90
d. Explain the disinvestment of public enterprises
in the Indian economy
Subunit 4: CUET Practice
Semester 2
Unit 4 - Indian 1. How does the Subunit 1: Theory of Subunit 1: Human Resources and Economic
Economy: demographic profile of Demographic Transition; Size, Development
Growth, India, including population Sex, Density, and Growth rate
Institutional size, age distribution, and of Population; Demographic a. Explain the theory of demographic transition
Framework and gender composition, Dividend in India and evaluate the main features of demographic
Policy Regime influence economic transition such as fertility, mortality, sex
development and growth? composition, age composition, density and
growth rate of population in Indian economy
b. Evaluate demographic dividend in India
2. How does the Subunit 2: Workforce Subunit 2: Employment, Growth, Informalisation
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occupational structure Participation in India; and Other Issues
reflect the level of Changing Structure of
economic diversification Employment; Informalisation a. Understand basic concepts relating to
and human development in of Indian Workforce; employment such as economic activity, worker,
India? Unemployment; Government workforce participation in India, and
and Employment Generation; unemployment
Sources of Human Capital; b. Demonstrate the changing structure of
Human Capital Formation in employment and informalisation in the Indian
India; Urbanisation in India workforce
wrt migration c. Assess the initiatives taken by the government
in employment generation in various sectors
and regions
d. Explain the sources of human capital and
human capital formation in India
e. Explain urbanisation in India wrt migration
and rural-urban wage gap, and assess its effects
on economic growth in India*
3. What are the policies Subunit 3: India’s Subunit 3: Environment and Sustainable
and initiatives that Environmental landscape; Development
promote sustainable Strategies for Sustainable
resource management, Development; Global Climate a. Understand the concept of environment and
conservation, and Change and India analyse the causes and effects of environment
equitable distribution of degradation and resource depletion
benefits in India? b. Analyse India’s environmental landscape and
the environmental challenges facing India
c. Relate environmental issues like global climate
change to the larger context of sustainable
development
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Subunit 4: CUET Practice
Unit 5 - Indian 1. How did land reforms, Subunit 1: Diversification of Subunit 1: Agriculture in the Indian Economy
Economy and green revolution, food Productive Activities, Present
Sectoral security and management Status of Indian Agriculture, a. Understand the importance of diversification of
Development establish adequate Green Revolution, Food productive activities to sustain livelihoods
availability, accessibility, Security and Management and b. Comment on the present status of Indian
and affordability of food PDS and MSP, Land Reforms, agriculture
grains in India? Organisation of Rural Credit, c. Evaluate the green revolution, food security and
Rural Indebtedness, management, and public distribution system in
Agricultural Marketing and the Indian economy
Warehousing, Organic d. Explain the importance of land reforms in the
Farming, Co-operative Farming Indian economy
e. Describe the organisation of rural credit and
comment on the rural indebtedness in rural
India
f. Explain agricultural marketing and
warehousing and sustainable farming in India
2. What are the challenges Subunit 2: Large Scale Subunit 2: Indian Industries and Foreign Trade
faced by large-scale and Industries, Small Scale
small-scale industries in Enterprises (MSMEs), Public a. Distinguish between large-scale industries and
India, and what strategies and Private Sectors in Indian small-scale enterprises (MSMEs)
are implemented to Industrial Development, b. Explain the role of public and private sectors in
promote competitiveness, Structure and Pattern of Indian industrial development
productivity, and Foreign Trade of India, c. Describe the structure and pattern of foreign
sustainability among Industrialisation and trade in India
them? Manufacturing Promotion by d. Outline the boom of the IT industry in India
Government, IT Industry, Make e. Comment on the industrialization and
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in India Policy - Atma Nirbhar manufacturing efforts undertaken by the
Bharat (Self-Reliant India) government*
f. Comment on the status of present-day
industrial policies with a focus on Make In
India Policy and Self-Reliant India policy*
3. What are the functions Subunit 3: Money and Capital Subunit 3: Financial Markets in the Indian Economy
and roles of money and Markets in India: NBFCs, Stock
capital markets in India, Exchange in India, SEBI; a. Explain the causes and effects of the movement
and how do they contribute Capital Market Reforms; of transactions to the digital platform on the
to the mobilisation of Development Financial Indian economy*
savings, allocation of Institutions b. Evaluate the money and capital markets in
funds, and overall financial India wrt to NBFCs, stock exchange, SEBI etc.,
intermediation? and assess capital market reforms*
Subunit 4: CUET Practice
Unit 6 - 1. How does poverty, Subunit 1: Poverty Reduction Subunit 1: Socio-economic Development in India
Development Economic backwardness, in India, Growth and
Experience of and price policy - such as Inequality, Price Policy and a. Define the concept of poverty and explain the
India subsidies and price Control in India, Indicators of causes and effects of poverty in India
controls, impact market Regional Imbalances, Policy b. Explain the concepts of growth and inequality,
dynamics and development Measures to Remove Regional and comment on the price policy of a
in India? Disparities, Concept of Social fast-developing economy like India
Sector and Social Infrastructure c. Assess the indicators of regional imbalances
in India; Family and Welfare in and evaluate policy measures by the
India; Education in India government to remove such imbalances
d. Explain the concept of social sector and social
infrastructure wrt to family (education, health,
35
housing) and welfare (cash transfers, safety
nets) in India*
e. Comment on the structure and evolution of the
education system in India
2a. What are the key Subunit 2: Comparative Subunit 2: Indian Economy Today: An Overview
features and current trends Development Experiences of and Comparative Perspective
in the Indian economy, and India and its neighbours;
how do they compare to Development Experience of a. Understand the comparative trends in various
the economies of India wrt the Global South; economic and human development indicators
neighbouring countries? Indicators of Human of India and its neighbours
Development; Development b. Analyse India’s role as an emerging economic
2b. How does the Indian Strategies: An Appraisal power in the Global South
economy contribute to c. Evaluate the challenges and opportunities of
regional integration and South-South cooperation towards economic
cooperation in South Asia? growth and sustainable development
d. Assess the strategies adopted by countries in
South Asia to reach their present state of
development
Subunit 3: CUET Practice
Highlighted portions are outside the purview of NCERT and will not be tested.
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