The syllabus consists of four units divided into two parts: (A) Introductory Macroeconomics (B) Indian Economic Development.
|Part A||Introductory Macroeconomics|
|Unit 1||National Income and Related Aggregates||10|
|Unit 3||Determination of Income and Employment||12|
|Part B||Indian Economic Development|
|Unit 7||Current Challenges facing Indian Economy||12|
|Unit 8||Development Experience of India - A Comparison with Neighbours||6|
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 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 through Bank Rate, CRR, SLR, Repo Rate and Reverse Repo Rate, Open Market Operations, Margin requirement.
Unit 7: Current challenges facing Indian Economy
Employment: Growth and changes in work force participation rate in formal and informal sectors; problems and policies
Infrastructure: Meaning and Types: Case Studies: Energy and Health: Problems and Policies - A critical assessment
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