CBSE Class 12 Economics Syllabus 2024-25: Updated Curriculum

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.

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 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 

• 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 floating.

• Determination of exchange rate in a free market, Merits and demerits of 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 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

• Human Capital Formation: How people become resource; Role of human capital in economic development; Growth of Education Sector in India 

• Rural Development: Key issues - credit and marketing - role of cooperatives; agricultural diversification; 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

• A comparison with neighbours 

• India and Pakistan 

• India and China 

• Issues: economic growth, population, sectoral development and other Human Development Indicators

Part C: Project In Economics

Importance of the Chapters of Class 12 Economics Syllabus

Both parts include those topics that a student must learn. The first part talks about the economic terms and processes that banks and nations follow. Part B focuses on India and past experiments with its economy.

Each chapter is interesting to learn and understand, not only for the exams but to know how a nation functions economically. Still, between these two, Macroeconomics is the most crucial chapter of Economics. This topic focuses on the decision-making, structure, behaviour and overall performance of an economy.

Project Work Class 12 - Economics

CBSE has allotted 20 Marks to the project out of 100. Students need to prepare one project file on any topic from the syllabus that relates to their learning. The objective of the project inclusion is to build interpersonal and communication skills among students. A project brings you a lot of new opportunities to learn and grow.

Question Paper Design for Class 12th Economics 2024-25:

Prescribed Books for Class 12 Economics:

Why Should You Download the Economics Syllabus Class 12 CBSE 2024-25 PDF?

• The Class 12 CBSE Economics Syllabus for 2024-25 provides a comprehensive overview of the entire curriculum, making it easy for students to find and understand all topics at a glance.

• The syllabus is updated for the 2024-25 academic year, reflecting the latest CBSE guidelines.

• Class 12 Economics Syllabus Chapter Wise PDF highlights important topics and chapters, helping students prioritise their study efforts.

• The Class 12th Economics Syllabus syllabus is updated for the 2024-25 academic year, reflecting the latest CBSE guidelines.

• The Economics Syllabus Class 12 CBSE 2024-25 PDF is available for FREE download so that students can access the syllabus anywhere, anytime.

The Economics syllabus Class 12 CBSE 2024-25 PDF by Vedantu is a valuable resource for students. It provides comprehensive, updated content with easy navigation and clear learning objectives. Highlighting key areas and offering supportive resources effectively aids in strategic exam preparation. Since it is accessible online, it ensures students can review and study the syllabus conveniently, making it an essential tool for academic success.

Related Topic Pages for CBSE Economics Class 12:

CBSE Class 12 Study Materials