CBSE Class 12 Economics Syllabus 2024

CBSE Class 12 Economics Syllabus 2024: Economics is part of social science that has a great influence on every human being.  As economic life and the economy go through changes, the need to ground education in children’s own experiences becomes essential. While doing so, it is imperative to provide them with opportunities to acquire analytical skills to observe and understand economic realities. The CBSE has released the syllabus of Economics for the academic year 2024. In this article, we have discussed the syllabus in detail. 

Class 12 Economics Syllabus 2024

Class 12th Economics examinations will hold a total of 100 marks together. Wherein, 80 Marks will be given on theory paper and the remaining 20 Marks will be given for Project work. Refer to this syllabus below and score well in boards, because the Class 12th result plays a key role in deciding the career of students ahead. 

CBSE Class 12 Economics Syllabus 2024 

Economics Class 12 Syllabus 2024

The detailed and chapter-wise Economics Class 12 Syllabus is discussed below:

Part A: Introductory Macroeconomics 

Unit 1: National Income and Related Aggregates 

• 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 and Welfare

Unit 2: Money and Banking 

• 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.
• The 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 

• 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 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

• 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 

• Balance of payments account - meaning and components;
• Balance of payments – Surplus and Deficit
• Foreign exchange rate - meaning of fixed and flexible rates and managed to float.
• Determination of exchange rate in a free market, Merits, and demerits of the flexible and fixed exchange rate.
• Managed Floating exchange rate system.

Part B: Indian Economic Development 

Unit 6: Development Experience (1947-90) and Economic Reforms since 1991

• A brief introduction of the state of the 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 liberalization, globalization, and privatization (LPG policy); Concepts of demonetization and GST

Unit 7: Current challenges facing the Indian Economy

• Human Capital Formation: How people become resources; Role of human capital in economic development; Growth of Education Sector in India
• Rural development: Key issues - credit and marketing - the role of cooperatives; agricultural diversification; alternative farming - organic farming.
• Employment: Growth and changes in the workforce 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 

• A comparison with neighbors India and Pakistan, India and China
• Issues: economic growth, population, sectoral development, and other Human Development Indicators.

Part C: Project in Economics 

A suggestive list of projects for CBSE class 12th of Economics is-

Prescribed Books

Class 12th ecology books cover the study of living things and their environment. These books explore topics like ecosystems, biodiversity, and conservation. They teach students about the delicate balance between different organisms and their surroundings. Below we have discussed a few most prescribed Ecology 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

Important Areas to Focus

The CBSE Economics paper consists of a total of 100 Marks, of which, 80 Marks are to be given for the theory paper and the remaining 20 Marks are given for Project Work. So to score well, understand the syllabus thoroughly. The typology of the question is based upon three aspects, that is, Remembering and Understanding, Applying, and  Analysing Evaluating & Creating. The first aspect which means, Remembering and Understanding as it covers a total of 44 Marks(which means, 55% of the total theory paper) should be done properly so as to gain good marks. Remember all the facts, terms, and basic concepts also understand the facts and ideas by interpreting, translating, comparing, and giving descriptions. The Second type of question is based on the application which covers 18 Marks of the theory paper (which means, 22.5% of the total theory paper). The third type of question is based upon analysis, Evaluation, and creation which further covers 18 Marks(which means 22.5% of the total theory paper). So study hard and come out with flying colors.

Special Tips for Students

1. Planning: Make a daily study plan based on the economics syllabus and follow that plan religiously. Many students failed to follow their study plan, failing to plan depends upon a lack of discipline.
2. Practice: Go through the concepts and learn the facts, terms, and basic concepts and solve problems based on those concepts, it will help students to understand concepts in-depth.
3. Take Baby Steps: If you can’t achieve daily targets, then make short targets. Achieving targets will give you internal satisfaction and gradually increase your targets.
4. Revision: Keep track of topics daily that have been completed. Revise them in short intervals of time, by revision you can retain them for a longer period.
5. Practice Regularly: Solve sample papers, and previous year's question papers, and take mock tests to improve time management and enhance problem-solving skills.
6. Conceptual Understanding: Focus on understanding concepts rather than rote memorization. This approach will help in answering application-based questions