Kendriya Vidyalaya Sangathan
Syllabus for written examination for PGTs for 2012-13 and 2013-14
Syllabus For Written Examination For PGT (Economics)
Part – A (Introductory Micro Economics and Macro Economics)
1. Introduction: Central problems of an economy, production possibility curve
and opportunity cost.
2. Consumer Behaviour and Demand: Consumer’s Equilibrium - meaning and
attainment of equilibrium through Utility Approach and Indifference Approach,
Demand, market demand, determinants of demand, demand curve, movement along and
shifts in demand curve. Law of demand and its exceptions. Price elasticity of
demand, measurement of price elasticity of demand - percentage, total
expenditure and geometric method.
3. Producer Behaviour & Supply: Agents of production. Production function. Cost
and Revenue- meaning and various types of costs and revenue. Isoquants. Returns
to a factor and returns to scale. Supply, market supply, determinants of supply,
supply curve, movement along and shifts in supply curve, price elasticity of
supply and its measurement. Components and theories of distribution. Welfare
economics: Pareto optimality, private and social products. Consumer surplus.
4. Forms of Market and Price Determination: Forms of market – meaning and
features. Price determination under perfect competition, monopoly and imperfect
competitions, effects of shifts in demand and supply.
5. National Income and related aggregates: Macroeconomics: Meaning. Circular
flow of income, concepts of GDP, GNP, NDP, NNP (at market price and factor
cost), National Disposable Income, Private Income, Personal Income and Personal
Disposable Income. Measurement of National Income.
6. Determination of Income and Employment: Aggregate demand, Aggregate supply
and their components. Propensity to consume and propensity to save. Involuntary
unemployment and full employment. Determination of income and employment.
Concept of investment multiplier and its working. Problems of excess and
deficient demands Measures to correct excess and deficient demands -
availability of credit, change in Government spending. Inflation: meaning,
causes and remedies
7. 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
8 Government Budget and the Economy: Government budget - meaning and its
components. Objectives of government budget. Classification of receipts;
classification of expenditure. Types of budget. Revenue deficit, fiscal deficit
and primary deficit: meaning and implications; measures to contain different
deficits. Downsizing the role of government.
9. 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
10. International Economics: Theories of international trade, free trade and
protection, IMF – The World Bank and its associates. WTO.
11. Concepts of shares, debentures, SEBI, NSEW, BSE and various indices.
PART-B (STATISTICS AND INDIAN ECONOMIC DEVELOPMENT)
1. Introduction and collection, organization of data: Meaning, scope and
importance of statistics in Economics. Collection and organisation of data.
Census of India and National Sample Survey Organisation. Statistical
Tools and Interpretation: Measures of Central Tendency. Geometric mean and
harmonic mean. Measures of Dispersion. Lorenz Curve: Meaning and its
application. Correlation – meaning. Measures of correlation - Karl Pearson’s
method, Spearman’s rank correlation. Time series analysis. Introduction to Index
Numbers - meaning, types - wholesale price index, consumer price index and index
of industrial production, uses of index numbers; Inflation and index numbers.
2. Development Policies and Experience: A brief introduction of the state of
Indian economy on the eve of independence. Common goals of Five Year Plans,
major controversies on planning in India. Main features, problems and policies
of agriculture, industry and foreign trade.
3. Economic Reforms since 1991: Need & main features - liberalisation,
globalisation and privatisation; an appraisal of LPG policies
4. Current challenges facing Indian Economy: Poverty and programmes for poverty
alleviation. Rural development: Key issues - credit and marketing - role of
cooperatives; agricultural diversification; alternative farming - organic
farming. Human Capital Formation. Growth of Education Sector in India.
Employment: opportunities and other related issues. Infrastructural Problems and
policies. Sustainable Economic Development: Meaning; Effects of Economic
Development on Resources and Environment.
5. Development Experience of India: A comparison with neighbours India and
Pakistan, India and China, Issues: growth, population, sectoral development and
other developmental indicators.
Courtesy : KVS